TVA To Redeem Debt Securities

February 25, 2009

TVA has announced that on March 23, 2009, it will redeem two issues of securities from its electronotes® series.

TVA will redeem all of its 2003 4.875-percent electronotes® due Dec. 15, 2015. These securities are identified by the CUSIP number 88059TCR0. Approximately $11 million of the 88059TCR0 electronotes® are currently outstanding.

TVA will redeem all of its 2007 4.80-percent electronotes® due Nov. 15, 2014. These securities are identified by the CUSIP number 88059TED9. Approximately $17 million of the 88059TED9 electronotes® are currently outstanding.

Each of the securities will be redeemed at 100 percent of par value. The redemption price and any accrued interest will be paid to eligible holders through The Depository Trust Company.

TVA’s electronotes® program offers securities for retail investors in a variety of structures. The electronotes® have maturities of up to 30 years, and certain issues are redeemable by TVA prior to maturity.

Investors and investment dealers should be aware that new electronotes® are issued by TVA from time to time, generally on a monthly basis.

TVA is the nation’s largest public power provider and is completely self-financing. TVA provides power to large industries and 158 power distributors that serve approximately 9 million consumers in seven southeastern states. TVA also manages the Tennessee River and its tributaries to provide multiple benefits, including flood damage reduction, navigation, water quality and recreation.

Media Contact

John Moulton, Knoxville, (865) 632-8048
TVA News Bureau, Knoxville, (865) 632-6000

TVA Newsroom

Investor Contact

TVA Investor Relations, Knoxville, (888) 882-4975 www.tva.com/finance
investor@tva.com