MIR Mirion Technologies Inc

ATLANTA, May 31 /PRNewswire-FirstCall/ -- Mirant (NYSE:MIR) today announced that it has entered into a settlement with Potomac Electric Power Company (Pepco) that will resolve outstanding litigation between the companies that arose from agreements entered into in 2000 as part of Mirant's acquisition of power plants and other assets from Pepco. Mirant emerged from a Chapter 11 reorganization on January 3, 2006, but unresolved elements of its case have remained pending before the bankruptcy court, including the disputes with Pepco that are resolved by this settlement. The settlement resolves a number of disputed matters, including a long- term arrangement entered into in 2000 that required Mirant to buy electric power from Pepco through 2021 at prices significantly higher than market prices. Mirant will be allowed to reject this arrangement and avoid future payments. Under the settlement, Pepco will receive a claim under Mirant's previously approved Plan of Reorganization that entitles it to receive a distribution of common shares and cash with a value of $520 million, subject to certain adjustments. To satisfy the claim, Mirant will distribute to Pepco up to 18 million shares of Mirant common stock plus an additional amount of cash so that Pepco receives a total of $520 million. Mirant will not issue new shares to satisfy the Pepco claim but will use shares from the shares to be distributed to creditors under its Plan of Reorganization that were reserved for distribution on disputed claims. "It is good to have this matter behind us," said Edward R. Muller, chairman and CEO of Mirant. "We look forward to resuming normal business relations with our valued customer, Pepco." A summary of the material terms of the settlement agreement together with the agreement will be filed on a Form 8-K with the Securities and Exchange Commission. Mirant is a competitive energy company that produces and sells electricity in the United States, the Caribbean, and the Philippines. Mirant owns or leases approximately 17,300 megawatts of electric generating capacity globally. The company operates an asset management and energy marketing organization from its headquarters in Atlanta. For more information, please visit http://www.mirant.com/. Some of the statements included herein involve forward-looking information. Mirant cautions that these statements involve known and unknown risks and that there can be no assurance that such results will occur. There are various important factors that could cause actual results to differ materially from those indicated in the forward-looking statements, such as, but not limited to, the decisions of the bankruptcy court regarding the settlement agreement with Pepco and the disposition of any litigation or claims arising out of such settlement agreement; changes in the market value of Mirant's common stock; legislative and regulatory initiatives regarding deregulation, regulation or restructuring of the electric utility industry; changes in state, federal and other regulations (including rate regulations); changes in, or changes in the application of, environmental and other laws and regulations to which Mirant and its subsidiaries and affiliates are or could become subject; the failure of Mirant's assets to perform as expected; Mirant's pursuit of potential business strategies, including the disposition or utilization of assets; changes in market conditions, including developments in energy and commodity supply, demand, volume and pricing or the extent and timing of the entry of additional competition in the markets of Mirant's subsidiaries and affiliates; the resolution of claims and obligations that were not resolved during the Chapter 11 process that may have a material adverse effect on Mirant's results of operations; environmental regulations that restrict Mirant's ability to operate its business and other factors discussed in Mirant's Form 10-K for the year ended December 31, 2005, and Form 10-Q for the quarter ended March 31, 2006. Stockholder inquiries: 678 579 7777 DATASOURCE: Mirant CONTACT: Media, Corry Leigh, +1-678-579-3111, or , or Investor Relations, Mary Ann Arico, +1-678-579-7553, or , or Sarah Stashak, +1-678-579-6940, or , or Stockholder inquiries, +1-678-579-7777, all of Mirant Web site: http://www.mirant.com/

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