Dynegy Inc. and Dynegy Holdings, LLC File Proposed Chapter 11 Plan of Reorganization for Dynegy Holdings, LLC

Dynegy Inc. announced that it has joined its subsidiary, Dynegy Holdings, LLC (DH), in filing a proposed Plan of Reorganization for DH (the DH Plan) with the United States Bankruptcy Court for the Southern District of New York, Poughkeepsie Division (Bankruptcy Court). The DH Plan provides for the treatment and satisfaction of all claims against DH, including its senior and subordinated notes and its guaranties of its Roseton and Danskammer lease obligations. If confirmed by the Bankruptcy Court, the proposed DH Plan will settle all pending and potential causes of action related to Dynegy`s out-of-court restructuring efforts and will materially reduce the debt on its consolidated balance sheet. The DH Plan filing represents an important step toward the resolution of DH`s chapter 11 case and the successful implementation of the restructuring support agreement announced on November 7, 2011. The DH Plan was filed with a Disclosure Statement that contains a historical profile of DH, a description of proposed distributions to creditors, and an analysis of the DH Plan`s feasibility, as well as many of the technical matters required for DH to emerge from chapter 11. The DH Plan and Disclosure Statement have not been approved by the Bankruptcy Court and are subject to further negotiations with stakeholders. Once the Disclosure Statement is approved, DH will begin soliciting its creditors for approval of its Plan.