For Immediate Release

September 4, 2002

IURC APPROVES DECREASE IN GAS COST ADJUSTMENT FOR CITIZENS GAS

Today in Cause No. 37399 GCA 75, the Indiana Utility Regulatory Commission approved the Gas Cost Adjustment for Citizens Gas for the months of September, October and November. The approved factor will result in lower prices. The tables below show the impact on customers.

Table 1

Effect on Residential Customers

New vs. Current

Monthly Consumption Dth		Bill at New GCA Factor	Bill at Current GCA Factor		Dollar Change			Percent Change

5	$ 39.87			$ 52.59		($12.72)	(24.19)
10	$ 67.69			$ 93.13		($25.44)	(27.32)
15	$ 95.52			$133.68		($38.16)	(28.55)
20	$123.34			$174.22		($50.88)	(29.20)
25	$151.17			$214.77		($63.60)	(29.61)

Table 2

Effect on Residential Customers

New vs. One Year Ago

Monthly Consumption Dth	Bill at New GCA Factor		Bill at GCA Factor One Year Ago	Dollar Change	Percent Change

5		$ 39.87	$ 52.44	($12.57)	($23.97)
10		$ 67.69	$ 92.84	($25.15)	($27.09)
15		$ 95.52	$133.24	($37.72)	($28.31)
20		$123.34	$173.64	($50.30)	($28/97)
25		$151.17	$214.04	($62.87)	($29.37)

In addition to the quarterly GCA factor approved by the Commission, the Commissioners also have, on an interim basis, authorized the Company to file monthly adjustments to the GCA factors approved in its quarterly filings. The flex mechanism is the result of a settlement with the Indiana Office of Utility Consumer Counselor and should result in more market responsive rates. The company will be allowed to adjust the gas cost adjustment factor up or down $1 on a monthly basis.

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