El Paso Energy Corporation and The Coastal Corporation announced the execution of definitive agreements for the merger of El Paso Energy and Coastal. The total value of the transaction is approximately $16 billion, including $6 billion of assumed debt and preferred equity. It is expected that the merger will be completed during the fourth quarter of 2000. The total enterprise value of the combined company will exceed $32 billion, with an equity value of approximately $19 billion. With this merger, El Paso Energy will become the only company that is one of the top five companies in every sector of the wholesale natural gas and power arena, including natural gas transmission, production, gathering and processing, marketing, and power generation.