SAN FRANCISCO, March 31, 2004 --Chevron Energy Solutions, a unit of ChevronTexaco (NYSE: CVX), today announced that it has expanded its performance contracting capabilities in the upper Midwest and Great Lakes Region through an acquisition.

The company stated that it has acquired a portion of the performance contracting assets of FirstEnergy Solutions, a subsidiary of FirstEnergy Corp. (NYSE: FE), which provides energy and related products and services to institutional, commercial and industrial customers in Ohio, Michigan and Pennsylvania. Specific terms of the purchase were not disclosed.

The acquisition reflects the continued growth of Chevron Energy Solutions' energy services capabilities in the Midwest and Northeast, particularly in the public institutions market where interest in performance contracting remains strong. The company plans to open an office in Ohio as a result of the purchase.

Under performance contracting, future energy cost savings associated with new, high-efficiency equipment are guaranteed by the energy services company. As a result, customers are able to finance the installations with little or no initial capital investment. This form of contracting has been popular among schools, colleges, universities, government agencies, public hospitals and other public institutions because it enables them to retain scarce capital resources for other critical needs while benefiting from facility upgrades and reduced energy costs.

San Francisco-based Chevron Energy Solutions partners with institutions and businesses to improve facilities and increase their efficiency, help reduce energy expenses and help ensure reliable, high quality power for critical operations. Chevron Energy Solutions recently enhanced its capabilities by acquiring businesses of Viron Energy Services and Energy Masters International, two leading energy services providers. Its customers include federal government agencies; state, county and municipal government agencies; schools, colleges and universities; and many other public institutions and commercial and industrial businesses. With over two dozen offices nationwide, the company maintains in-house engineering, monitoring and project management capabilities, provides financing options and delivers solutions designed to address each customer's particular needs without promoting specific vendors, products or commodities. For more information about Chevron Energy Solutions, please visit www.chevronenergy.com.

FirstEnergy Corp. is a registered public utility holding company headquartered in Akron, Ohio. FirstEnergy subsidiaries and affiliates are involved with the generation, transmission and distribution of electricity; exploration and production of oil and natural gas; transmission and marketing of natural gas; and energy management and other energy-related services.

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3/31/04

Contacts:
Diane Sable, Chevron Energy Solutions: (415) 733-4629
Gretchan Sekulich, FirstEnergy Corp.: (330) 315-6720

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