NiSource Declares Quarterly Common Dividend

MERRILLVILLE, Ind., Aug. 27 /PRNewswire-FirstCall/ -- The Board of
Directors of NiSource Inc. (NYSE: NI) today announced it has declared a
quarterly common dividend payment of 23 cents per share, payable November 20,
2008, to stockholders of record at the close of business October 31, 2008.
About NiSource
NiSource Inc. (NYSE: NI), based in Merrillville, Ind., is a Fortune 500
company engaged in natural gas transmission, storage and distribution, as well
as electric generation, transmission and distribution. NiSource operating
companies deliver energy to 3.8 million customers located within the
high-demand energy corridor stretching from the Gulf Coast through the Midwest
to New England. Information about NiSource and its subsidiaries is available
via the Internet at www.nisource.com. NI-F
Forward-Looking Statements
This news release includes forward-looking statements within the meaning
of Section 27A of the Securities Act of 1933, as amended, and Section 21E of
the Securities Exchange Act of 1934, as amended. Those statements include
statements regarding the intent, belief or current expectations of NiSource
and its management. Although NiSource believes that its expectations are based
on reasonable assumptions, it can give no assurance that its goals will be
achieved. Readers are cautioned that the forward-looking statements in this
presentation are not guarantees of future performance and involve a number of
risks and uncertainties, and that actual results could differ materially from
those indicated by such forward-looking statements. Important factors that
could cause actual results to differ materially from those indicated by such
forward-looking statements include, but are not limited to, the following:
weather; fluctuations in supply and demand for energy commodities; growth
opportunities for NiSource's businesses; increased competition in deregulated
energy markets; the success of regulatory and commercial initiatives; dealings
with third parties over whom NiSource has no control; the success of
NiSource's restructuring of its outsourcing agreement; actual operating
experience of NiSource assets; the regulatory process; regulatory and
legislative changes; changes in general economic, capital and commodity market
conditions; and counter-party credit risk.
SOURCE NiSource Inc.

Media, Tom Cuddy, Director, Communications, +1-219-647-5581,
tcuddy@nisource.com, or Investors, Randy Hulen, Director, Investor Relations,
+1-219-647-5688, rghulen@nisource.com