Sierra Pacific Resources
Contact: Sonya Headen
Phone: (702) 367-5222

For Immediate Release

Las Vegas, NV. - The Board of Directors of Sierra Pacific Resources yesterday (NYSE: SRP) elected Donald"Pat" Shalmy president of Nevada Power Company, a subsidiary of the utility holding company. Shalmy will be responsible for day- to-day operations and bottom line results for Nevada Power, which serves approximately 630,000 electric customers in Las Vegas and southern Nevada.

"Although he has only been with us a short time, Pat has clearly made a positive impact on our organization through his interaction with employees and his aptitude for understanding this very complicated business," said Walt Higgins, chairman and CEO of Sierra Pacific Resources."His ability to successfully manage a large organization combined with his experience and leadership in southern Nevada are assets that will serve him well in his new position," said Higgins."This announcement underscores our continued commitment to operational excellence while rebuilding and restoring our customers'trust."

"I am excited and honored that the company has given me this opportunity to lead one of the fastest growing electric utilities in the West," Shalmy said."The employees have shown a tremendous commitment to the company and the community that it serves. Nevada Power has served southern Nevada for decades and as a long time citizen I am humbled by the opportunity to help the company through these challenging times."

Shalmy joined Nevada Power in May as senior vice president of Nevada Power. From January through May, 2002 he was Director of Government and Community Relations for Kummer, Kaempfer, Bonner and Renshaw. Prior to assuming that position, he was president of the Las Vegas Chamber of Commerce, the third largest chamber in the United States. Shalmy served as director of comprehensive planning for Clark County from 1979 to1984 when he was appointed County Manager. As County Manager he directed all governmental activities and supervised 5,500 employees for 12 1/2 years.

Headquartered in Nevada, Sierra Pacific Resources is a holding company whose principal subsidiaries are Nevada Power Company, the electric utility for most of southern Nevada, and Sierra Pacific Power Company, the electric utility for most of northern Nevada and the Lake Tahoe area of California. Sierra Pacific Power Company also distributes natural gas in the Reno-Sparks area of northern Nevada. Other subsidiaries include the Tuscarora Gas Pipeline Company, which owns 50 percent interest in an interstate natural gas transmission partnership and several unregulated energy services companies.

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