FOR IMMEDIATE RELEASE
August 22, 2003

FOR ADDITIONAL INFORMATION

Larry Graham, Manager NIPSCO Communications and Community Relations (260) 439-1330

MERRILLVILLE, Ind. --- Hot and humid weather across Northern Indiana Public Service Company's (NIPSCO) electric service territory on Thu., Aug. 21, resulted in a new all-time electric demand by customers of 3,054 megawatts. The record, achieved at 4 p.m., eclipsed the previous mark of 2,998 megawatts on Aug. 9, 2001.

During the record demand for electricity, NIPSCO's bulk transmission system experienced no unusual problems and all base-load generating facilities were on line and producing power. NIPSCO's new all-time electric peak was the second time in a week the utility's system has been tested. On Thu., Aug. 14, the electric system performed as designed and without problem during the worst blackout ever in North America when an estimated 50 million customers lost electric service in the northeastern portion of the United States and Canada.

"Our employees have worked diligently to insure a continuous supply of reliable electricity to meet our customers needs during this period of high electrical demand," said Jerry Godwin, NIPSCO chief operating officer.

NIPSCO, with headquarters in Merrillville, Ind., is one of the 10 energy distribution companies of NiSource Inc. (NYSE: NI). With nearly 700,000 natural gas customers and 430,000 electric customers across the northern third of Indiana, NIPSCO is the largest natural gas distribution company, and the second largest electric distribution company, in the state. NiSource distribution companies serve 3.7 million natural gas and electric customers primarily in nine states. More information about NIPSCO is available at www.nipsco.com.