Duke Energy Corporation (NYSE:DUK) today announced it plans to sell 35 million equity units in a public offering. Each equity unit will be issued in a stated amount of $50 ($1.75 billion aggregate stated amount) and will initially be in the form of a corporate unit consisting of a contract to purchase Duke Energy common stock in the future and two 1/40 undivided beneficial ownership interests in Duke Energy's remarketable senior notes, each having a principal amount of $1,000. Duke Energy expects to grant to the underwriters an option to purchase an additional 5 million corporate units (an additional $250 million aggregate stated amount) solely for the purpose of covering over-allotments.

Duke Energy intends to apply to list the corporate units on The New York Stock Exchange and expects trading to commence within 30 days of the date of initial issuance (subject to listing approval).

Duke Energy intends to use the net proceeds from the offering of the equity units (i) to redeem the outstanding $500 million aggregate principal amount of its 3.25% Junior Subordinated Debentures due 2082 (the "Junior Subordinated Debentures"), (ii) to repay a portion of its outstanding commercial paper and (iii) for general corporate purposes. This press release shall not constitute a notice of redemption of the Junior Subordinated Debentures or an obligation to issue a notice of redemption.