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Duke, Progress merger complete

Duke Energy Corp. (NYSE: DUK) on July 3 confirmed the closing of its merger with Progress Energy Inc., effective July 2, 2012.

The new company will be known as Duke Energy and will remain headquartered in Charlotte, with substantial operations in Raleigh, N.C.

Progress Energy Inc. has become a wholly owned direct subsidiary of Duke Energy, creating the country’s largest electric utility as measured by enterprise value, market capitalization, generation assets, customers and other criteria.

Duke Energy also said the newly constituted board of directors has appointed Jim Rogers as president and chief executive officer of the combined company. Rogers will also maintain his responsibilities as chairman of the company’s board. Bill Johnson has resigned as president and chief executive officer of the combined company, by mutual agreement.

The new Duke Energy has approximately $49 billion in market capitalization, total assets of more than $100 billion, and 7.1 million electric customers in the Carolinas, Florida, Indiana, Kentucky and Ohio.

Duke Energy’s major commercial operations include Duke Energy International, which operates power plants in Central and South America; Duke Energy Renewables, which develops and owns wind and solar projects in the U.S.; and Duke Energy’s Midwest Generation and Duke Energy Retail, which generate, market and sell electricity in the Midwest.

When the merger was announced on Jan. 10, 2011, the transaction value totaled $26 billion, including Progress Energy’s debt. Based on Duke Energy’s share price and including Progress Energy’s debt, the transaction is now valued at about $32 billion.

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