TransAlta Retires Wabamun Units One and Two as Planned

    Business Editors/Energy Editors

    CALGARY, Alberta--(BUSINESS WIRE)--Jan. 3, 2005--TransAlta Corporation (NYSE:TAC) (TSX:TA) today announced it has shut down and retired Wabamun units one (62-megawatt (MW)) and two (57-MW) as planned on Dec. 31, 2004.

    TransAlta announced the phased decommissioning of the four unit 537-MW coal-fired Wabamun power plant in November 2002. The 139-MW unit three was retired in 2002. The 279-MW unit four is expected to run until 2010 when the license will expire.

    TransAlta is among Canada's largest non-regulated power generation and wholesale marketing companies. We have coal-fired, gas-fired, hydro and renewable generation assets in Canada, the U.S., Mexico and Australia. With approximately 10,000 megawatts of capacity either in operation, under construction or in development, our focus is to efficiently operate our assets in order to provide our wholesale customers with a reliable, low-cost source of power.

--30--SH/na*

CONTACT: TransAlta Corporation - Media inquiries Tim Richter Senior Advisor, Media & Government Relations Phone: (403) 267-7238 Pager: (403) 213-7041 Email: media_relations@transalta.com OR TransAlta Corporation - Investor inquiries Daniel J. Pigeon Director, Investor Relations Phone: (403) 267-2520 or 1-800-387-3598 in Canada and U.S. Fax: (403) 267-2590 Email: investor_relations@transalta.com Website: www.transalta.com

KEYWORD: NEW YORK INTERNATIONAL CANADA INDUSTRY KEYWORD: OIL/GAS ENERGY SOURCE: TransAlta Corporation

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