(LOUISVILLE, Ky. – July 2, 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 are payable July 15, 2003, to shareholders of record on June 30, 2003. The KU dividends are payable Sept. 2, 2003, to shareholders of record on Aug. 15, 2003.

The LG&E dividends 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)
• $.5375 per share ($537.50 per unit) on the preferred stock, Auction Series A (without par value)

The KU dividends are as follows:

• $1.1875 per share on the 4.75 percent preferred stock, $100 stated value (without par value)
• $1.6325 per share on the 6.53 percent preferred stock, $100 stated value (without par value)

Members of the E.ON family of companies, LG&E serves customers in Louisville, Ky., and 16 surrounding counties, while. Lexington-based KU serves 499,000 customers in 77 Kentucky counties and five counties in Virginia.