INDIANA GAS COMPANY INC.

Introduction:

Indiana Gas Company provides gas service to much of central and southern Indiana. As a local distribution company (LDC), Indiana Gas purchases gas from wholesale sources, then transports, distributes and resells the gas to residential, commercial, institutional and industrial customers. Our company is subject to regulation by the Indiana Utility Regulatory Commission.

Indiana Gas is the principal subsidiary of Indiana Energy, Inc., a publicly-owned holding company with other natural gas related subsidiary companies. Predecessor companies of Indiana Gas have provided continuous service to customers in Indiana as early as 1851. Important in the history of Indiana Gas since 1945 are acquisitions of other companies. Such acquisitions permit the realization of operating efficiencies and economies and provide greater financial strength. The company remains committed to continued growth.

Corporate Mission:

Our corporate mission guides all activities of the company. To accomplish this mission, "we must provide high quality, competitively-priced products and services to our customers."

Corporate Vision Statement:

To provide high quality, competitively-priced natural gas service to customers that is safe and reliable, we will aggressively pursue efforts to become pro-active in responding to the market. We also will strive to recognize and respond quickly to our customer's energy needs and expectations. Indiana Gas also will work with all appropriate organizations in our service territories to identify the needs for and the proper methods of sustaining general economic health of our service communities.

Service Area:

Indiana Gas serves nearly 403,000 customers in 274 communities, which makes the company the second largest gas distribution company in the State of Indiana. The company's service area encompasses 48 counties in central and southern Indiana. The company's service territory stretches west to the Illinois border and east to the Ohio border. Indiana Gas provides gas to the seven counties surrounding Indianapolis. Although our headquarters office is located in Indianapolis, the company does not serve the city.

Communities in the northern part of the service area include Lafayette/West Lafayette, Marion and Huntington. Southern communities served include Madison, Clarksville, Jeffersonville and New Albany along the Ohio River. Other cities Indiana Gas serves include Anderson, Bloomington, Columbus, Greenfield, Muncie, Richmond, Shelbyville and Terre Haute (including the new Vigo County Industrial Park).

Indiana Gas uses a network of six regional offices and numerous distribution centers to provide services to its communities. Regional offices are located in Bloomington, Clarksville, Franklin, Lafayette, Muncie and Noblesville.

Among principal industries that use natural gas are those which manufacture glass products, electrical equipment, automobile parts and accessories, gypsum products, agricultural feed and food products.

For more information please contact Mark Marietta, Indiana Gas Co., (812)234-4379

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