PGL Peoples Energy Corp

The Board of Directors of Peoples Energy (NYSE:PGL) today declared a regular quarterly dividend of 54 1/2 cents per share, payable on January 12, 2007 to shareholders of record at the close of business December 22, 2006. On an annualized basis, the Company�s dividend rate remains equivalent to $2.18 per share. Peoples Energy has a 69 year history of uninterrupted dividend payments. Peoples Energy, a member of the S&P 500, is a diversified energy company consisting of three primary business segments: Gas Distribution, Oil and Gas Production, and Energy Marketing. The Gas Distribution business serves about 1 million utility customers in Chicago and northeastern Illinois. Visit the Peoples Energy web site at www.PeoplesEnergy.com.