EXHIBIT 99.1
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                     PPL MONTANA ASKS FEDERAL COURT TO VOID
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           MONTANA PUBLIC SERVICE COMMISSION ORDER AS UNCONSTITUTIONAL
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          Allentown, Pa.-- (July 10, 2001) Action by the Montana Public Service
Commission that attempts to regulate sales from power plants owned by PPL
Montana not only is unconstitutional but also contradicts a previous action by
the commission, PPL Montana said in a complaint filed Tuesday (7/10).
          The company, in the action filed with the U.S. District Court in
Helena, asks the federal court to declare the PSC action "preempted,
unconstitutional and void." The complaint also asks the court to issue an order
"enjoining the PSC from seeking to exercise any authority, control or regulation
of wholesale sales from PPL Montana's generating assets."
          "While it is unfortunate that it has become necessary to file such a
complaint against the Montana PSC, this action should come as no surprise," said
Robert J. Grey, senior vice president and general counsel for PPL Corporation
(NYSE: PPL), the parent company of PPL Montana. "We have said on numerous
occasions that we would vigorously challenge any attempt by state authorities to
regulate sales from these power plants, which clearly are under the jurisdiction
of a federal agency."
          On June 26, the Montana PSC issued an order in which it found that any
purchaser of power plants formerly owned by The Montana Power Company must sell
electricity to Montana Power under conditions established by the PSC. PPL
Montana purchased two coal-fired plants and 11 hydroelectric units from Montana
Power in 1999.
          Grey said that the Federal Power Act preempts states from exercising
regulatory authority over sale of electricity in wholesale markets. In addition,
the Federal Energy Regulatory Commission has granted PPL Montana special status
to sell solely in the wholesale market.
          Grey also pointed out that, in an action taken on May 25, 1999, the
Montana PSC approved federal control over PPL Montana's plants as in the public
interest. "The commission's recent action inexplicably tries to overturn that
previous judgment," said Grey.
          In addition to the PSC action being preempted by Supremacy Clause of
the U.S. Constitution, Grey said several other constitutional violations arise
from the attempted regulation:
o    The PSC's efforts to regulate wholesale electricity sales and the
     transmission of electricity interfere with interstate commerce in violation
     of the Commerce Clause of the constitution.
o    The PSC order would require PPL Montana to sell electricity to Montana
     Power in quantities and prices that are contrary to an existing power
     purchase agreement between the two companies, violating the Contracts
     Clause of the constitution.
o    The PSC order imposes arbitrary, capricious and discriminatory requirements
     on PPL Montana in violation of the Due Process Clause of the constitution.





o    The PSC order would require PPL Montana to sell electricity at below market
     prices, resulting in a taking of PPL property without just compensation, a
     violation of the Fifth Amendment of the constitution.
o    The PSC order denies PPL Montana equal protection, violating the Equal
     Protection Clause of the Fourteenth Amendment to the constitution.

          "PPL understands the energy challenges facing the state of Montana and
we have taken meaningful actions to help mitigate these challenges," said Grey.
"We are very disappointed that the Montana PSC is persisting in a misguided and
unconstitutional attempt to regulate sales from our power plants. This PSC
action only will serve to distract attention from productive efforts - of which
we have been a part - to provide adequate energy supplies for the state's
residents and businesses."
          Following through on its commitment to be a part of the solution to
Montana's electricity supply concerns, PPL has offered to supply Montana Power
with 500 megawatts of power produced by PPL's plants at 4 cents per
kilowatt-hour for five years.
          When PPL Montana purchased its Montana plants, it agreed to supply
Montana Power with electricity, at less than 2.5 cents per kilowatt-hour. It is
continuing to supply Montana Power with electricity under this agreement through
June 30, 2002.
          In addition, PPL Montana has voluntarily provided 20 megawatts of
below-market-priced electricity to a power pool that the state has established
for industrial customers. PPL is the only company providing electricity to that
pool.
          PPL EnergyPlus, another subsidiary of PPL Corporation, also has been
making competitive energy supply offers to industrial customers in Montana. PPL
EnergyPlus recently signed a six-year contract with Advanced Silicon Materials
LLC, a leading polysilicon producer for the semiconductor industry that is one
of Montana's largest industrial operations and a major employer in the state.
          PPL Montana and PPL EnergyPlus, both subsidiaries of PPL Corporation,
have offices in Butte, Billings and Helena and together employ more than 500
people in Montana. PPL Montana operates the Colstrip and Corette generating
plants and 11 hydroelectric facilities within the state.
          PPL Corp., headquartered in Allentown, Pa., generates electricity at
power plants in key U.S. markets; markets wholesale or retail energy in 42 U.S.
states and Canada; and delivers electricity to nearly 6 million customers in
Pennsylvania, in the United Kingdom and in Latin America.

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