ARLINGTON, Va., July 22 /PRNewswire-FirstCall/ -- Pepco Energy Services, a subsidiary of Pepco Holdings, Inc. (NYSE: POM) and a leader in energy savings performance contracting, announced today that it has been selected to implement a $3.6 million comprehensive energy savings performance contract for the Pennsylvania Farm Show Complex and Expo Center, located in Harrisburg, Pennsylvania (Farm Show Complex).

Originally constructed in 1931, the 1 million square-foot Farm Show Complex is owned by the State of Pennsylvania, Department of Agriculture and is primarily used for conventions, agrarian shows/exhibitions, meetings and banquets and hosts more than 200 events each year. As part of the 15-year contract with the Farm Show Complex, Pepco Energy Services will install new energy efficient lighting, replace/upgrade several heating and air-conditioning systems, and install solar hot water heating and water saving fixtures in the facility.

"While the Farm Show Complex has always been used to showcase the latest advancements in agriculture, it will now feature eco-friendly and money-saving investments that can hopefully be implemented in homes across Pennsylvania," said Pennsylvania Department of Agriculture Secretary Dennis Wolff.

"Not only will this project save the Farm Show Complex more than $300,000 annually, it will also avoid 1,650 metric tons of carbon dioxide emissions each year," stated David Weiss, President and Chief Operating Officer of the Energy Services Division for Pepco Energy Services.

The project, which will begin construction August 2009, is expected to be completed by April 2010.

Since 1995, Pepco Energy Services has developed, implemented and financed over $750 million of energy conservation, energy infrastructure and renewable energy projects for more than 300 customers, including the single largest energy savings performance contract ever awarded by the Federal Government - a project for the Military District of Washington which includes five military bases in the Washington, D.C. area that will produce over $240 million of energy savings over the contract term.

Accredited by the National Association of Energy Service Companies (NAESCO), Pepco Energy Services has also completed energy savings contracts in Pennsylvania for Pennsylvania State University at Altoona and University Park Campuses, and for the North Carolina State Government, Baltimore City Schools and City Government, the Washington, D.C. Convention Center, and Andrews Air Force Base.

About Pepco Energy Services

Pepco Energy Services, Inc., a wholly owned subsidiary of Pepco Holdings, Inc. (NYSE: POM), provides commercial, industrial, and government customers with energy efficiency services, renewable energy, and competitive electricity and natural gas supply. Visit www.pepcoenergy.com for more information.

Pepco Energy Services, Inc. is not the same company as Potomac Electric Power Company, and prices and services of Pepco Energy Services, Inc. are not set by the Public Service Commission.

Information contained in this news release may include forward-looking statements which should be considered in light of the risks inherent in the business of Pepco Holdings, Inc. and its subsidiaries, as discussed in public documents filed with the Securities and Exchange Commission.