On Dec. 13, 2002, Standard&Poor's Ratings Services revised its outlook for Duke Energy Corp., Duke Capital Corp., and the subsidiaries (listed below) to negative from stable. All ratings are affirmed. Charlotte, N.C.-based Duke Energy had $22.9 billion in consolidated debt outstanding as of Sept. 30, 2002. This action reflects the continuous negative developments facing the company in both its regulated and unregulated operations. Of particular concern is a weaker than anticipated economic environment in its service territory, which is likely to lessen the cash flow contribution from the regulated electric business and potentially further dampen cash flow from merchant generation. Standard&Poor's also expects the growth of gas transmission revenues to slow as the company reduces total
