(LOUISVILLE, Ky. – January 3, 2003) Louisville Gas and Electric Company (LG&E) and Kentucky Utilities Company (KU), both members of the E.ON AG (NYSE: EON; Frankfurt: EOA) family of companies, today announced regular dividends on several series of the companies' preferred stock.

The LG&E dividends, payable Jan. 15, 2003, to shareholders of record on Dec. 31, 2002, are as follows:

• 31.25 cents per share on the 5 percent cumulative preferred stock, $25 par value
• $1.46875 per share on the $5.875 cumulative preferred stock (without par value)
• $.8425 per share ($842.50 per unit) on the preferred stock, Auction Series A (without par value)

The KU dividends, payable March 3, 2003, to shareholders of record on Feb. 14, 2003, are as follows:

• $1.1875 per share on the 4.75 percent preferred stock, (stated value $100 per share)
• $1.6325 per share on the 6.53 percent preferred stock, (stated value $100 per share)