PE-Backed Power Generation Merger

Astoria Generating Company Holdings LLC and EBG Holdings LLC have agreed to merge, in order to create a $5 billion power generation company serving the constrained energy markets in the < ?xml:namespace prefix = st1 ns = "urn:schemas-microsoft-com:office:smarttags" />New York and Boston metropolitan areas. The combined company will be named US Power Generating Company, with Astoria and EBG shareholders owning 46% and 54%, respectively. Astoria was acquired from Reliant Energy last year by Madison Dearborn Partners, the Ray Hunt family and company management. EBG shareholders include K Road Power Inc. and a variety of hedge funds. < ?xml:namespace prefix = o ns = "urn:schemas-microsoft-com:office:office" />