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Con Edison, Inc. Reports First Quarter Earnings
Company Reaffirms 2003 Earnings Projection

NEW YORK, Apr 17, 2003 /PRNewswire-FirstCall via COMTEX/ -- Consolidated Edison, Inc. today reported net income for common stock for the first quarter of 2003 of $154 million or 72 cents a share, compared with earnings of $146 million or 68 cents a share, for the first quarter of 2002. Net income for the 2002 period includes a one-time goodwill impairment charge of $20 million after-tax, related to certain unregulated generating assets. Excluding this non-cash charge, net income for the first quarter of 2002 was $166 million or 78 cents a share. The company also declared a quarterly dividend of 56 cents a share on its common stock payable June 15, 2003 to stockholders of record as of May 14, 2003.

"Con Edison's performance for the first quarter represents a solid start for the year," said Eugene R. McGrath, Chairman and Chief Executive Officer. "In these uncertain times, Con Edison's steady focus on operational excellence and financial strength continues to build value for our customers and our shareholders."

The company's net income for common stock for the 12 months ended March 31, 2003 was $654 million or $3.07 a share, compared with $650 million or $3.06 a share, for the 12 months ended March 31, 2002. Absent the cumulative effect of changes in accounting principles in 2002, earnings for the 12 months ended March 31, 2003 and March 31, 2002 would have been $3.08 and $3.16 a share, respectively.

The company's earnings for the first quarter of 2003 were positively affected by increased sales related to the cold winter weather, as compared with the mild winter weather in the first quarter of 2002. Offsetting the impact of higher sales was a reduction in net pension and other post-retirement benefits credit.

Volumes of electricity, gas and steam delivered by Con Edison of New York, after adjusting for variations in weather and billing days in the period, increased 3.1 percent, 3.3 percent and 1.2 percent, respectively, for the first three months of 2003 compared with the prior year. The company's 10 highest winter electric peak loads all occurred this winter, and a new record winter peak of 8,514 MW was set in January 2003.

The following table represents an analysis of the major factors affecting earnings per share for the 1st Quarter of 2003 compared with 2002:

                                                               Earnings Per
    1st Quarter 2003 Compared With 2002                          Share ($)

    Con Edison of New York:
      Impact of cold winter weather in 2003
       on net revenues versus mild winter
       weather in 2002 (estimated)                                0.13
      Sales growth from factors other than weather
       (estimated)                                                0.06
      Reduced net credit for pensions & other
       post-retirement benefits                                  (0.08)
      Regulatory accounting/amortizations                        (0.09)
      Higher depreciation and property tax expense               (0.03)
      Amortization of divestiture gain in 2002                   (0.06)
    Orange & Rockland Utilities                                   0.02
    Cumulative effect of change in accounting
     principle for goodwill impairment in 2002                    0.10
    Other                                                        (0.01)
    Total                                                        $0.04

For the full year 2003, the Company confirms its previous forecast of earnings in the range of $2.90 to $3.05 per share.

The press release contains forward-looking statements of future expectations. Actual results might differ materially from those projected because of factors such as those identified in reports the company has filed with the Securities and Exchange Commission.

Consolidated Edison, Inc. is one of the nation's largest investor-owned energy companies, with $9 billion in annual revenues and approximately $19 billion in assets. The company provides a wide range of energy-related products and services to its customers through its six subsidiaries: Consolidated Edison Company of New York, Inc., a regulated utility providing electric, gas, and steam service in New York City and Westchester County, New York; Orange and Rockland Utilities, Inc., a regulated utility serving customers in a 1,350 square mile area in southeastern New York state and adjacent sections of northern New Jersey and northeastern Pennsylvania; Con Edison Solutions, a retail energy services company; Con Edison Energy, a wholesale energy supply company; Con Edison Development, an infrastructure development company; and Con Edison Communications, a telecommunications infrastructure company and service provider.

For additional financial, operations and customer service information, visit the Consolidated Edison, Inc. web site at www.conedison.com.

                            CONSOLIDATED EDISON, INC.
                          CONSOLIDATED INCOME STATEMENT
               FOR THE THREE MONTHS ENDED MARCH 31, 2003 AND 2002
                                   (Unaudited)

                                                       2003             2002
                                                       (Millions of Dollars)

    Operating revenues
         Electric                                    $1,493           $1,301
         Gas                                            620              474
         Steam                                          238              141
         Non-utility                                    252              120
            Total operating revenues                  2,603            2,036

    Operating expenses
         Purchased power                                895              650
         Fuel                                           185               65
         Gas purchased for resale                       365              230
         Other operations                               296              237
         Maintenance                                     93              100
         Depreciation and amortization                  129              120
         Taxes, other than income tax                   284              267
         Income tax                                      99              110
            Total operating expenses                  2,346            1,779

    Operating income                                    257              257

    Other income (deductions)
         Investment income                               --                1
         Allowance for equity funds used
          during construction                             2                4
         Other income                                     5                7
         Other Income deductions                         (3)              (8)
         Income tax                                       2               13
            Total other income (deductions)               6               17

    Income before interest charges                      263              274

    Interest on long-term debt                          100               94
    Other interest                                        8               11
    Allowance for borrowed funds used
     during construction                                 (2)              --
            Net interest charges                        106              105
    Preferred stock dividend requirements                 3                3
    Net income before cumulative effect of
     changes in accounting principles                   154              166
    Cumulative effect of changes in
     accounting principles (net of income
     tax of $14 million)                                 --               20
    Net income for common stock                        $154             $146

    Earnings per common share - Basic
    Before cumulative effect of changes in
     accounting principles                            $0.72            $0.78
    Cumulative effect of changes in
     accounting principles                              $--            $0.10
    After cumulative effect of changes in
     accounting principles                            $0.72            $0.68

    Earnings per common share - Diluted
    Before cumulative effect of changes in
     accounting principles                            $0.72            $0.78
    Cumulative effect of changes in
     accounting principles                              $--            $0.10
    After cumulative effect of changes in
     accounting principles                            $0.72            $0.68

    Average number of shares outstanding -
     Basic (in Millions)                              214.2            212.3
    Average number of shares outstanding -
     Diluted (in Millions)                            215.1            213.3


    Consolidated Edison, Inc. utility sales
    Electric (thousands of kilowatthours)
         Total energy delivered in service
          areas                                  14,493,912       13,528,980
         Off-system and ESCO sales                   96,285           18,340
    Gas (dekatherms)
          Firm sales and transportation          59,382,894       46,212,930
          Off-system sales                          258,625        6,303,625
    Steam (thousands of pounds)                  10,672,089        7,935,809


                            CONSOLIDATED EDISON, INC.
                          CONSOLIDATED INCOME STATEMENT
               FOR THE TWELVE MONTHS ENDED MARCH 31, 2003 AND 2002
                                   (Unaudited)

                                                      2003               2002
                                                       (Millions of Dollars)

    Operating revenues
         Electric                                   $6,443             $6,480
         Gas                                         1,350              1,238
         Steam                                         501                387
         Non-utility                                   754                503
            Total operating revenues                 9,048              8,608

    Operating expenses
         Purchased power                             3,425              3,080
         Fuel                                          409                274
         Gas purchased for resale                      732                651
         Other operations                            1,021              1,036
         Maintenance                                   381                402
         Depreciation and amortization                 503                511
         Taxes, other than income tax                1,131              1,099
         Income tax                                    387                456
            Total operating expenses                 7,989              7,509

    Operating income                                 1,059              1,099

    Other income (deductions)
         Investment income                               2                  7
         Allowance for equity funds used
          during construction                            8                  5
         Other income                                   47                  1
         Other income deductions                       (15)               (32)
         Income tax                                      9                 31
            Total other income (deductions)             51                 12

    Income before interest charges                   1,110              1,111

    Interest on long-term debt                         391                392
    Other interest                                      58                 42
    Allowance for borrowed funds used
     during construction                                (7)                (6)
            Net interest charges                       442                428
    Preferred stock dividend
     requirements                                       12                 13
    Net Income before cumulative effect
     of changes in accounting principles               656                670
    Cumulative effect of changes in
     accounting principles (net of
     income taxes of $1 million and
     $14 million, respectively)                          2                 20
    Net income for common stock                       $654               $650

    Earnings per common share - Basic
    Before cumulative effect of changes
     in accounting principles                        $3.08              $3.16
    Cumulative effect of changes in
     accounting principles                           $0.01              $0.10
    After cumulative effect of changes
     in accounting principles                        $3.07              $3.06

    Earnings per common share - Diluted
    Before cumulative effect of changes
     in accounting principles                        $3.07              $3.15
    Cumulative effect of changes in
     accounting principles                           $0.01              $0.10
    After cumulative effect of changes
     in accounting principles                        $3.06              $3.05

    Average number of shares outstanding
     - Basic (in Millions)                           213.4              212.2
    Average number of shares outstanding
     - Diluted (in Millions)                         214.5              213.1

    Consolidated Edison, Inc. utility
     sales
    Electric (thousands of
     kilowatthours)
         Total energy delivered in
          service areas                         60,421,819         57,794,612
         Off-system and ESCO sales                  95,502            122,357
    Gas (dekatherms)
          Firm sales and transportation        125,576,230        106,584,149
          Off-system sales                       5,193,853         12,471,413
    Steam (thousands of pounds)                 27,255,756         22,780,807

SOURCE Consolidated Edison, Inc.

Chris Olert, +1-212-460-4111, for Con Edison, Inc.

http://www.conedison.com

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