News Releases

U.S. Bankruptcy Court to Hear Further Arguments On Enron, Sierra Pacific Resources Litigation

Sep 15, 2002

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

For Immediate Release

Reno, Nevada - - Sierra Pacific Resources (NYSE: SRP) today said that the United States Bankruptcy Court for the Southern District of New York will hear additional arguments on October 3, 2002, regarding litigation involving Enron Power Marketing and Sierra Pacific's subsidiaries, Nevada Power Company and Sierra Pacific Power Company.

The Enron Corp. subsidiary has been seeking the posting of collateral from the Sierra Pacific companies for claims related to contracts that had been terminated by Enron earlier this year.

Although the Court denied on Friday, September 13, 2002, Sierra Pacific's request for a stay until a ruling by FERC on the issue expected in May 2003, the Company said it was encouraged that the New York Court delayed a decision on the collateral request pending further arguments.

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.