News Releases

As previously announced, PPL Corporation (NYSE: PPL) will pay a quarterly common stock dividend of $0.25 per share on Oct. 1, 2005, to shareowners of record as of Sept. 9, 2005. The dividend amount reflects the 2-for-1 stock split that occurred Aug. 24. This is the company's 239th consecutive quarterly stock dividend.

On Aug. 2, PPL's Board of Directors approved the stock split and declared an 8.7 percent increase in the company's common stock dividend. At that time, PPL also said the Oct. 1 dividend would be adjusted for the 2-for-1 stock split. With this adjustment, the dividend now is $0.25 per share, or $1.00 per share on an annualized basis.

"We expect PPL's business model to produce compound annual growth in earnings in the range of 6 to 7 percent over the remainder of the decade, even while we pay a robust dividend," said William F. Hecht, PPL's chairman and chief executive officer. "We also now expect to reach a dividend payout ratio of 50 percent in 2006, a year earlier than we originally expected." All future dividend decisions, Hecht noted, are subject to the board of directors' quarterly dividend declarations, based on the company's financial position and other relevant considerations at the time.

Since 2000, PPL has doubled its dividend, increasing it on six separate occasions.

The additional shares of PPL common stock resulting from the stock split were distributed on Aug. 24 to shareowners of record as of Aug. 17. This was the first stock split for PPL since 1992; it brings the company's number of outstanding common shares to about 380 million.

In addition, PPL Electric Utilities Corporation, a PPL subsidiary, has declared the following quarterly dividends on its preferred stock, payable on Oct. 1, 2005, to shareowners of record as of Sept. 9, 2005.

    Preferred
    4-1/2%          $1.125
    3.35% Series    $0.8375
    4.40% Series    $1.10
    4.60% Series    $1.15
    6.75% Series    $1.6875

PPL Corporation, headquartered in Allentown, Pa., controls about 12,000 megawatts of generating capacity in the United States, sells energy in key U.S. markets and delivers electricity to 5 million customers in Pennsylvania, the United Kingdom and Latin America. More information is available at http://www.pplweb.com/.

Statements contained in this news release, including statements with respect to future earnings and dividends, are "forward-looking statements" within the meaning of the federal securities laws. Although PPL Corporation believes that the expectations and assumptions reflected in these forward- looking statements are reasonable, these statements involve a number of risks and uncertainties, and actual results may differ materially from the results discussed in the statements. The following are among the important factors that could cause actual results to differ materially from the forward-looking statements: market demand and prices for energy, capacity and fuel; weather conditions affecting customer energy usage and operating costs; competition in power markets; the effect of any business or industry restructuring; the profitability and liquidity of PPL Corporation and its subsidiaries; new accounting requirements or new interpretations or applications of existing requirements; operating performance of plants and other facilities; environmental conditions and requirements and the related costs of compliance, including environmental capital expenditures and emission allowance and other expenses; system conditions and operating costs; development of new projects, markets and technologies; performance of new ventures; asset acquisitions and dispositions; political, regulatory or economic conditions in states, regions and countries where PPL Corporation or its subsidiaries conduct business; receipt of necessary government permits, approvals and rate relief; capital market conditions and decisions regarding capital structure; the impact of state, federal or foreign investigations applicable to PPL Corporation and its subsidiaries; the outcome of litigation against PPL Corporation and its subsidiaries; stock price performance; the market prices of equity securities and the impact on pension income and resultant cash funding requirements for defined benefit pension plans; the securities and credit ratings of PPL Corporation and its subsidiaries; political, regulatory or economic conditions in states, regions or countries where PPL Corporation or its subsidiaries conduct business, including any potential effects of threatened or actual terrorism or war or other hostilities; foreign exchange rates; new state, federal or foreign legislation, including new tax legislation; and the commitments and liabilities of PPL Corporation and its subsidiaries. Any such forward-looking statements should be considered in light of such important factors and in conjunction with PPL Corporation's Form 10-K and other reports on file with the Securities and Exchange Commission.

SOURCE: PPL Corporation

CONTACT: Timothy J. Paukovits, for financial community, +1-610-774-4124,
or Daniel J. McCarthy, for news media, +1-610-774-5758, both of PPL
Corporation, Fax: +1-610-774-5281

Web site: http://www.pplweb.com/