UtiliCorp United forms alliances with national and regional associations.

KANSAS CITY, Mo.--(BUSINESS WIRE)--Aug. 15, 1996--UtiliCorp United (NYSE:UCU) has formed alliances with a number of national and regional associations to market its EnergyOneSM branded products and services, increasing the company's impact as America's first national utility.

These alliances include:

-- RBA The Retailer's Bakery Association, a national organization with more than 3,300 members.

-- The National Association of Housing Cooperatives, a national organization of some 1,500 members of owner- occupied apartment buildings.

-- The Lodi (New Jersey) Chamber of Commerce, representing some 250 area businesses.

-- The Connecticut Restaurant Association, representing about 400 restaurants.

-- The Washington D.C. Area Trucking Association, Inc., a regional trade association of more than 100 transportation companies. UtiliCorp also has an alliance with the Asian-American Hotel Owner's Association that represents approximately 4,000 hotel and motel operators and 13,000 properties, including many national franchises throughout the United States.

"When we add up the number of potential customers we can reach through these alliances, it's easy to see why we are confident our natural gas brokerage business should increase dramatically over the next 12 months," said Richard L. Itteilag, UtiliCorp vice president for network sales.

"Through these alliances EnergyOne is endorsed by the associations to supply natural gas today, and electric power in the future, to their memberships. The marketplace for energy products and related energy services is becoming more competitive as monopoly regulations are set aside by both federal and state regulators," Itteilag said.

More than 40 states presently allow competition for natural gas at the industrial level, while another dozen have opened the doors to the commercial or retail level. A few states currently are conducting experimental programs for residential customers. Nationwide, annual natural gas sales approach $50 billion, according to the American Gas Association.

For electric power a handful of states are now considering regulations to eliminate utility monopolies by as early as 1998. In addition, the federal government is considering deregulation legislation. It's estimated that electric power is a $200 billion market nationwide.

UtiliCorp United is a $3.9 billion international electric and gas company with energy customers and operations across the U.S. and in Canada, Great Britain, New Zealand, Australia and Jamaica. In January, UtiliCorp announced a definitive merger agreement with Kansas City Power & Light Company. Subject to shareholder and regulatory approvals, the merger is expected to be completed by mid-1997.

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