Aquila Posts Information on Restructuring Efforts on Website; Work Progressing on Renewal of Short-Term Financing

Business Wire, March 14, 2003

Business Editors

KANSAS CITY, Mo.--(BUSINESS WIRE)--March 14, 2003

Aquila, Inc. (NYSE:ILA) today posted information on its website at www.aquila.com (http://www.corporate-ir.net/ireye/ir_site.zhtml?ticker=ila&script= 1200), providing an update on the company's work on its restructuring plan. (Due to the length of the URL above, it may be necessary to copy and paste this hyperlink into your Internet browser's URL address field.)

The material posted summarizes steps taken to date and outlines actions being pursued in the short term.

As previously discussed with the investment community, the company's current short-term credit facility is due to expire on April 12. Aquila is working closely with its banking group to renew this facility, using available non-regulated collateral as well as pursuing filings with state regulatory commissions.

"We are in constructive discussions with our lead lenders and are working with them to achieve a restructuring of our bank facilities that will be acceptable to the company as well as the banks," said Rick Dobson, Aquila's interim chief financial officer. "We are all working to achieve this outcome by April 11."

The company will update the investment community as developments occur in coming weeks.

Based in Kansas City, Missouri, Aquila operates electricity and natural gas distribution networks, serving customers in seven states and in Canada, the United Kingdom, and Australia. The company also owns and operates power generation assets. More information is available at www.aquila.com.