Exhibit 99.2

Press Release                                                Source: Dynegy Inc.

Dynegy Dismisses Six Employees, Will Discipline Seven Others for Violations of
Company Policies

HOUSTON--(BUSINESS WIRE)--Oct. 18, 2002--Dynegy Inc. (NYSE:DYN - News) today
dismissed six employees and will discipline seven others in its natural gas
trading business for violations of company policies. The violations were related
to Dynegy's previously disclosed finding that employees in its marketing and
trading business provided inaccurate information regarding natural gas trades to
various energy industry publications that compile and report index prices. The
disciplinary actions were taken as a result of an ongoing investigation
conducted by the Audit and Compliance committee of Dynegy's Board of Directors
and in collaboration with independent counsel.

"Our Code of Business Conduct represents a commitment from all employees that
they will conduct themselves in an ethical and responsible manner," said Dan
Dienstbier, chairman and interim chief executive officer of Dynegy Inc. "It is
our practice to investigate any possible violation fully and take the
appropriate corrective actions to maintain the integrity of our workplace."

Dynegy discovered the inaccuracies during an internal review of its trading
activities, which is being conducted as part of an ongoing Commodity Futures
Trading Commission investigation. In connection with the investigation, the
company also has relieved a corporate compliance officer of his
responsibilities.

In response to its findings, the company has instituted measures that will
ensure the office of the chief risk officer verifies all price information
provided to industry publications. Dynegy will resume its practice of reporting
price information to industry publications in the near future.

Dynegy Inc. owns operating divisions engaged in power generation, natural gas
liquids, regulated energy delivery and communications. Through these business
units, the company serves customers by delivering value-added solutions to meet
their energy and communications needs.