Pepco Holdings Announces Executive Changes

WASHINGTON, June 13 /PRNewswire-FirstCall/ -- Dennis Wraase, Chairman of the Board, President and Chief Executive Officer of Pepco Holdings, Inc. (PHI) today announced several personnel changes. David Velazquez, currently Vice President, Strategic Planning and Chief Risk Officer, will immediately assume responsibility for the day-to-day operations of Conectiv Energy, PHI's competitive merchant energy subsidiary. Velazquez replaces Bill Spence, who has accepted a senior executive position with PPL Corporation. Velazquez will report to Wraase, along with John Huffman, who was recently named Chief Operating Officer of Pepco Energy Services, PHI's other competitive subsidiary.

Velazquez is a graduate of Widener University with a B.S. degree in Engineering. He joined PHI subsidiary Delmarva Power in 1981 and has advanced through a number of management positions in operations, engineering and planning, with extensive experience in the competitive wholesale energy business, including Vice President of Business Planning for Conectiv Energy. Huffman has a B.S. in Civil Engineering from Georgia Tech and an MBA from Harvard Business School. He joined the company in 2003 and has significant experience in the retail energy business.

Wraase also announced that Charles Dickerson, currently Vice President, Gas Delivery, will assume the position vacated by Velazquez. Hallie Reese, currently Vice President Business Systems, Planning and Budgeting, will replace Dickerson.

Dickerson is a graduate of the University of Maryland, with a B.S. in Mechanical Engineering and an M.S. in Applied Management. He has held several senior level positions at PHI, including Manager Customer Operations Division and Director Diversity and Human Resources Strategic Planning, since he joined the company in 1989. Reese joined the company in 1990 as an auditor and has held several positions, including Director of Planning & Finance for Corporate IT and Director of Power Delivery Business Systems & Technology. She is a graduate of Rutgers University with a degree in Accounting, and is a Certified Public Accountant.

Said Wraase, "These individuals are highly talented and have already made significant contributions to PHI. I am very pleased that we have individuals within our ranks with the skills necessary to ensure our continued progress in the execution of our strategic plan."

About PHI: Pepco Holdings, Inc., headquartered in Washington, D.C., is an energy delivery company serving about 1.8 million customers in Delaware, the District of Columbia, Maryland, New Jersey and Virginia. PHI subsidiaries Pepco, Delmarva Power and Atlantic City Electric provide regulated electricity service; Delmarva Power also provides natural gas service. PHI provides competitive wholesale generation services through Conectiv Energy and retail energy products and services through Pepco Energy Services.

Forward-Looking Statements: Except for historical statements and discussions, the statements in this news release constitute "forward-looking statements" within the meaning of federal securities law. These statements contain management's beliefs based on information currently available to management and on various assumptions concerning future events. Forward- looking statements are not a guarantee of future performance or events. They are subject to a number of uncertainties and other factors, many of which are outside the company's control. Factors that could cause actual results to differ materially from those in the forward-looking statements herein include general economic, business and financing conditions; availability and cost of capital; changes in laws, regulations or regulatory policies; weather conditions; competition; governmental actions; and other presently unknown or unforeseen factors. These uncertainties and factors could cause actual results to differ materially from such statements. PHI disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. This information is presented solely to provide additional information to further understand the results and prospects of PHI.