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For Immediate Release

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Pepco Introduces New Bill for Maryland Customers

"Itemized" Bill First Step Towards Competition

For Immediate Release
March 30, 2000

Pepco today announced that beginning April 1, all of its Maryland residential and commercial customers will receive a newly formatted bill, which will offer itemized or "unbundled" charges to help customers comparison shop for electricity this spring. Pepco`s Maryland customers can choose their electricity supplier starting in April and will receive electricity from that supplier in July.

The new bill will contain more line items than the previous format, with costs broken out to highlight each component that makes up a customer`s electricity bill. Customers may pay specific attention to costs for generating electricity- that portion of electricity service open to competition.

"This new bill is the start of opening up our industry to competition and other suppliers," said Pepco Vice President, Robert C. Grantley.

The new bills will be printed on two sides of larger 8 ½" x 11" paper with larger type. Another feature of this new bill format and design is the "Usage History" section, which enables consumers to track their annual electricity costs.

"We know that some customers will have questions," said Grantley. "And we are taking a number of steps to ensure that everyone's questions are answered."

As part of its Pepco Answers consumer education campaign, Pepco is offering comprehensive information about the new bills through its web site, www.pepco.com; its 24-hour call center, 202-833-7500; advertising; and its bill newsletter, Lines.

In the new competitive market beginning July 1, 2000, Pepco will continue to deliver electricity to Maryland consumers over its existing power lines, regardless of which new supplier is chosen, and will continue to respond to outages, customer service inquiries and repairs.

Pepco (NYSE: POM) is an investor-owned utility that provides electricity in Washington, D.C. and the Maryland suburbs, serving more than 700,000 customers. Pepco, through its family of subsidiaries, also offers electric energy, natural gas, Internet access, local and long distance telephone, cable television and energy management services in the Mid-Atlantic region.

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