MINNEAPOLIS, July 13, 2001 (BUSINESS WIRE)—NRG Energy, Inc. announced it priced a $500 million offering yesterday --$340 million of 6.75 percent senior notes due July 15, 2006 and $160 million of 8.625 percent notes due April 1, 2031.

The offering--co-managed by Banc of America Securities LLC and Deutsche Banc Alex. Brown--was priced at 99.875 to yield 6.78 percent for the five-year tranche and 103.343 to yield 8.318 percent for the 30-year tranche. The $160 million tranche was a reopening of the 30-year bonds issued by NRG in April 2001. Standard & Poor's Rating Group rated the senior notes BBB- and Moody's Investors Services Inc. assigned them a Baa3 rating.

"The strength and diversity of NRG's portfolio, accompanied by our continued commitment to maintaining our investment grade rating, allows us to consistently access the capital markets with favorable terms," reported Leonard A. Bluhm, executive vice president and CFO.

The company said the proceeds will be used to used to repay all amounts outstanding under our revolving credit facility--$293 million at June 30, 2001--and for investments, other general corporate purposes and to provide capital for planned acquisitions.

NRG is a leading global energy company engaged primarily in the acquisition, development, construction, ownership and operation of power generation facilities. NRG owns 21,612 MW of generating assets in operation and under construction. The company's operations utilize such diverse fuel sources as natural gas, oil, coal and coal seam methane, biomass, landfill gas, and hydro, as well as refuse-derived fuel.

More information on NRG Energy is available at www.nrgenergy.com

Contacts:

NRG Energy, Inc.

Media Relations
Meredith Moore, 612/373-8892

Investor Relations
Rick Huckle, 612/313-8900