For Immediate Release
March 31, 2005

Thomas Graham Named President, Pepco Region;
Move Signals Renewed Focus on Local Communities

Dennis Wraase, Chairman, President and CEO of Pepco Holdings, Inc. (PHI), parent company of Pepco, today announced personnel and organizational changes designed to enhance responsiveness to local customers and communities. Executives have been appointed to head each of the three regions served by PHI utilities, including the Pepco, Delmarva Power and Atlantic City Electric regions.

Wraase outlined several reasons for the changes. "Organizationally, we want to focus on the unique needs of our customers in the three distinct regions that PHI serves," Wraase said. "The president in each region will be responsible for interfacing with our legislative, regulatory, government, business and community stakeholders and coordinating with operations to ensure that we are providing safe and reliable service based on the particular needs of customers in their area."

Thomas Graham has been appointed President, Pepco Region, which serves more than 720,000 customers in the District of Columbia and Montgomery and Prince George's counties in Maryland. Graham has been with Pepco for 19 years, most recently as Regional Vice President, Prince George's County. Said Graham, " I look forward to this opportunity to work with the local communities in D.C. and Maryland to ensure we are responsive to their needs."

Utility operations will continue to be headed by William Sim, Senior Vice President, PHI, with responsibility for operations across all PHI utilities, including Pepco, Delmarva Power and Atlantic City Electric.

Delmarva Power and Atlantic City Electric previously operated under the brand name Conectiv Power Delivery. PHI has returned to the traditional utility names in these regions to more clearly communicate each company's identity. PHI's other subsidiaries, Conectiv Energy and Pepco Energy Services, are not affected by the changes.

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About Pepco: Pepco Holdings, Inc. is a diversified energy company with headquarters in Washington, D.C. Its principal operations consist of PHI Power Delivery, which delivers 50,000 gigawatt-hours of power to more than 1.7 million customers in Washington, D.C., Delaware, Maryland, New Jersey and Virginia. PHI engages in regulated utility operations by delivering electricity and natural gas, and provides competitive energy and energy products and services to residential and commercial customers.