SCANA Subsidiary Sells $200 Million of First Mortgage Bonds
Investor Contacts:
H. John Winn, III
(803) 217-9240  

January 15, 2003, Columbia, SC, - South Carolina Electric & Gas Company (SCE&G), principal subsidiary of SCANA Corporation (NYSE:SCG), announced today that it sold, in a negotiated offering, $200 million principal amount of 5.80 percent First Mortgage Bonds due January 15, 2033. The 30-year bonds were priced to SCE&G at 98.802 percent. The bonds are initially being offered to the public at 99.677 percent to yield 5.823 percent to maturity. Morgan Stanley, Wachovia Securities and BNY Capital Markets, Inc. acted as joint book-running managers for the transaction.

It is anticipated that the bonds will be issued on January 23, 2003. Closing of the transaction is subject to normal closing conditions.

SCE&G will use the net proceeds from the sale of the New Bonds for repayment of short-term debt and for general corporate purposes.

A registration statement related to this offering has been filed with the Securities and Exchange Commission and has become effective. This press release shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of these securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction. This offering may be made only by means of a prospectus and related prospectus supplement, copies of which may be obtained by contacting Morgan Stanley, 1585 Broadway, New York, NY, 10036, Attention: Prospectus Department, or by contacting any of the other underwriters.

SCE&G is a regulated public utility engaged in the generation, transmission, distribution and sale of electricity to approximately 557,000 customers in 24 counties in the central, southern and southwestern portions of South Carolina. The company also provides natural gas service to approximately 267,000 retail customers in 33 counties in the state.

SCANA Corporation, a Fortune 500 company headquartered in Columbia, SC, is an energy-based holding company principally engaged, through subsidiaries, in electric and natural gas utility operations, telecommunications and other energy-related businesses. The Company serves approximately 557,000 electric customers in South Carolina and about one million natural gas customers in South Carolina, North Carolina and Georgia. Information about SCANA and its businesses is available on the Company's web site at