PPL Corporation (NYSE: PPL) has completed the sale of its 50 percent ownership interest in the 600-megawatt Griffith power plant in Kingman, Ariz., to a subsidiary of LS Power Equity Partners for approximately $115 million in cash.

The plant began commercial operation in January 2002 and was jointly owned by subsidiaries of PPL and Duke Energy Corporation. A subsidiary of LS Power acquired Duke's interest in the Griffith power plant on May 4, 2006.

"The Griffith plant has operated reliably to meet the obligations of our various energy supply contracts," said John R. Biggar, PPL's executive vice president and chief financial officer. "However, Griffith was the only generation asset that PPL owned in the southwest U.S. market and was not strategic to PPL's western generation."

With the completion of the sale of the Griffith plant, PPL now owns and operates power plants with total generating capacity of about 11,500 megawatts in six states: Pennsylvania, Montana, Connecticut, Illinois, New York and Maine.

As previously announced, Biggar said PPL will record an unusual, non-cash charge related to the Griffith sale of about $15 million, after taxes, or $0.04 per share, in the second quarter of 2006. The transaction will enhance PPL's cash flow position and, excluding the unusual charge, will be accretive to the company's earnings in 2006 and in subsequent years. Proceeds of the sale will be used to fund a portion of PPL's capital expenditure requirements.

PPL Corporation (NYSE: PPL), headquartered in Allentown, Pa., sells energy in key U.S. markets and delivers electricity to more than 5 million customers in Pennsylvania, the United Kingdom and Latin America.

Certain statements contained in this news release, including statements with respect to future earnings and cash flow, are "forward-looking statements" within the meaning of the federal securities laws. Although PPL Corporation believes that the expectations and assumptions reflected in these forward-looking statements are reasonable, these statements involve a number of risks and uncertainties, and actual results may differ materially from the results discussed in the statements. The following are among the important factors that could cause actual results to differ materially from the forward-looking statements: market demand and prices for energy, capacity and fuel; competition; accounting requirements; operating performance and costs of plants and other facilities; and  political, regulatory or economic developments and conditions. Any such forward-looking statements should be considered in light of such factors and in conjunction with PPL Corporation's Form 10-K and other reports on file with the Securities and Exchange Commission.