South Carolina Electric & Gas Company Announces Debt Offering

South Carolina Electric & Gas Company (SCE&G) announced today that it sold, in a negotiated offering, $175 million principal amount of its First Mortgage Bonds, 6.05 percent series due January 15, 2038, which are a part of a series of bonds having identical terms that SCE&G previously sold in January 2008 and in June 2008. The bonds sold today were priced to SCE&G at 98.709 percent, and are initially being offered to the public at 99.584 percent plus accrued interest from January 15, 2009, with a yield to maturity of 6.08 percent. BNY Mellon Capital Markets, LLC and Mizuho Securities USA Inc. acted as the joint book-running managers for the transaction.

SCE&G intends to apply the net proceeds from the sale of the bonds toward the repayment of short-term borrowings made under a cash management money pool, to finance capital expenditures (including costs to construct new nuclear units) and for general corporate purposes.

It is anticipated that these bonds will be issued on March 17, 2009. The transaction is subject to normal closing conditions.

Copies of a written prospectus and related prospectus supplement meeting the requirements of Section 10 of the Securities Act of 1933, as amended, relating to the offering of these bonds may be obtained by contacting BNY Mellon Capital Markets, LLC, One Wall Street, Floor 18, New York, NY 10286.

South Carolina Electric & Gas Company is a regulated public utility engaged in the generation, transmission, distribution and sale of electricity and in the purchase, sale and transport at retail of natural gas in portions of South Carolina.