EXHIBIT 99.02

OG+E
(Logo)


July 15, 1999


TO:      MEMBERS OF THE FINANCIAL COMMUNITY

SUBJECT: OGE  ENERGY  CORP. (NYSE: OGE)  SUBSIDIARY  OKLAHOMA  GAS AND  ELECTRIC
         COMPANY FILES PLAN FOR TRANSITION TO DEREGULATION

     In a filing  today with the  Oklahoma  Corporation  Commission,  OGE Energy
Corp.  submitted  testimony to support an innovative  new rate proposal to carry
its  largest  subsidiary,   Oklahoma  Gas  and  Electric  Company,   through  to
deregulation of the electric utility industry.  This Performance Based Incentive
Plan is designed to balance the interests of customers, investors, and the state
of Oklahoma during the transition to customer  choice in the electricity  market
to begin in 2002.  Importantly,  it addresses many of the financial  community's
questions about OG&E's regulation and rates.


PERFORMANCE BASED INCENTIVE PLAN HIGHLIGHTS:

o    NATURAL GAS TRANSPORTATION:  Lower electric rates would be made possible in
     part by a reduction in the cost of transporting natural gas to OG&E's power
     plants.  OGE  Energy  Corp. subsidiary  Enogex Inc.  would remain the  OG&E
     natural gas transporter at an  annual rate of  $25 million,  down from  the
     current $41 million rate.
o    TERMINATION OF THE GENERATION  EFFICIENCY  PERFORMANCE  RIDER:  Ending this
     regulatory provision, which enables OG&E to retain a portion of the savings
     achieved  through  efficiencies,  would  result  in a  $12  million  annual
     decrease in revenues. It's a key component





     in the company's offer to reduce rates by $83 million and freeze them there
     through June 2002.
o    ELIMINATION  OF FUEL  ADJUSTMENT  CLAUSE:  In the current  rate  structure,
     consumers  bear the risk of  increases  in the cost of fuel used to produce
     electricity.  Under the Performance  Based  Incentive Plan,  rates would be
     fixed as the fuel-cost risk shifts to the company and its shareowners.
o    FUEL COST  RECOVERY:  OG&E proposes one increase in its  Performance  Based
     Incentive Plan proposal,  a $14 million upward  adjustment in base rates to
     more accurately  reflect the company's  anticipated cost of fuel. Even with
     this increase,  OG&E's fuel costs remain  extremely  favorable  compared to
     regional and national fuel cost averages.
o    TERMINATION  OF RIDER FOR OFF-SYSTEM  ELECTRICITY  SALES:  Historically  in
     Oklahoma,  profits from  off-system  sales have been shared equally between
     customers and shareowners. Termination of this provision is consistent with
     providing  customers  fixed  rates,  and would allow the company to benefit
     from effectively managing its business.
o    A LOGICAL STEP TOWARD  DEREGULATION:  Oklahoma is on track,  under its 1997
     law, to  deregulate  the electric  utility  industry and open its market to
     customer  choice in 2002. OG&E proposes this plan as a logical part of that
     process,   which   specifically  calls  for  the  state  to  encourage  the
     development of a competitive market.

IF YOU HAVE ANY QUESTIONS ABOUT THIS PROPOSAL OR OTHER MATTERS, PLEASE CALL:
JIM HATFIELD, VICE PRESIDENT AND TREASURER  (405) 553-3984