Houston Street Exchange charges into Houston: United States' energy capital

Company opens new office and hires 13-year industry veteran to bring efficient, online wholesale power trading to largest concentration of users in the country

PORTSMOUTH, N.H., Dec. 20, 1999 - Houston Street Exchange today announced it has opened a new office in Houston and hired 13-year energy services veteran Allan Bounds to head the office as managing director. The new office will be a key marketing outpost, placing the company physically closer to some of the biggest players in the energy industry.

Located at 1100 Louisiana Street, in an area of the city called the "Energy Corner" due to its heavy concentration of energy companies, the new office will provide Houston Street with a direct presence in the capital of the energy industry. "We are committed to building a trading platform that power traders want to use because it helps them do their jobs more efficiently," said Houston Street Exchange President Frank Getman. "This requires seeking and responding to user feedback. Having an office in the 'Energy Corner' allows us direct access to our end-users to obtain this kind of input."

With 10 years of sales and marketing experience in the energy industry in both Houston and Dallas, Bounds will expand HoustonStreet's penetration in all markets and build the office to support that expansion. "HoustonStreet.com provides traders with something that no other venue has been able to offer - a fully web-based system for trading wholesale power that is more efficient," said Bounds. "With our new office, we now have an opportunity to work closely with a large segment of the wholesale energy industry."

Bounds comes to Houston Street Exchange from Houston-based TXU Energy Trading, where he was director of area marketing for the company. While there, he coordinated all wholesale marketing activities in the Mid-Atlantic, Southeast and Texas regions. Prior to TXU, Bounds served as vice president of business development for the Natural Gas Division at Houston-based El Paso Energy Marketing and vice president for the Eastern Region in charge of all marketing activities. Bounds earned a master's degree in business administration and a bachelor's degree in marketing from Lamar University.

About Houston Street Exchange
Designed by power traders for power traders, Houston Street Exchange has developed the first Web platform for trading wholesale electric power. HoustonStreet.com provides an online trading floor that allows power traders to buy and sell power faster, more efficiently and more easily than they do today. Houston Street Exchange is headquartered in Portsmouth, New Hampshire. Houston Street Exchange is a wholly owned subsidiary of BayCorp Holdings, Ltd., (AMEX: MWH).

This press release contains forward-looking statements. There are a number of important factors that could cause these forward-looking statements to be materially inaccurate. These factors include, without limitation, that (i) power traders may be unwilling or unable to use Internet-based power trading systems, including HoustonStreet.com, (ii) HoustonStreet.com may not be able to operate profitably, (iii) technological or systems outages could occur and (iv) competitors with greater financial, marketing or other resources could emerge. Trades on HoustonStreet.com may include transactions involving affiliates of BayCorp Holdings, Ltd. HoustonStreet.com is a registered service mark of Houston Street Exchange.