HOUSTON - Transwestern Pipeline Company announced today that its Standard & Poor’s credit rating has been raised to double B from triple C. In addition, Transwestern’s CreditWatch listing advanced to "Positive" from "Developing."

"The rating and outlook improvement from Standard & Poor’s reinforces our belief that Transwestern is a solid, well performing business," said Stan Horton, chairman and CEO of Transwestern Pipeline Company. "The new rating supports our confidence in Transwestern’s strong operating future. We are proud of the quality of operations and people who are continuing to work on Transwestern and her sister businesses, and appreciate Standard & Poor's recognition of the strength of the company."

According to Standard & Poor’s, the rating reflects reduced concerns about Transwestern being drawn into bankruptcy. Standard & Poor’s also indicated that the positive CreditWatch listing was based upon Transwestern’s stand-alone credit profile and the prospects for the company to emerge from under the difficulties of its parent.

Transwestern Pipeline, which is a wholly owned subsidiary of Enron Corp., consists of approximately 2,500 miles of pipeline with 1.2 Bcf/d of capacity to markets in Arizona and California. With the pipeline originating in the San Juan, Permian and Anadarko Basins, Transwestern can move gas east to Texas or west to the California border. Information is available on the Internet at www.tw.enron.com.