TVA to Redeem Debt Securities

April 4, 2008

TVA announced today that on May 7, 2008, it will redeem four securities from its electronotes(R) series.

TVA will redeem all of its 2002 4.375-percent electronotes(R) due Sept. 15, 2012. These securities are identified by the CUSIP number 88059TBH3. Approximately $11 million of the 88059TBH3 electronotes(R) are currently outstanding.

TVA will redeem all of its 2005 4.125-percent electronotes(R) due June 15, 2010. These securities are identified by the CUSIP number 88059TDD0. Approximately $42 million of the 88059TDD0 electronotes(R) are currently outstanding.

TVA will redeem all of its 2005 5.375-percent electronotes(R) due Dec. 15, 2015. These securities are identified by the CUSIP number 88059TDK4. Approximately $10 million of the 88059TDK4 electronotes(R) are currently outstanding.

TVA will redeem all of its 2006 5.375-percent electronotes(R) due March 15, 2016. These securities are identified by the CUSIP number 88059TDN8. Approximately $8 million of the 88059TDN8 electronotes(R) 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 (DTC).

TVA’s electronotes(R) program offers securities for retail investors in a variety of structures and maturities. As of March 31, 2008, TVA had 62 issues of electronotes(R) outstanding.

TVA is the nation’s largest public power provider and is completely self- financing. TVA provides power to large industries and 159 power distributors that serve approximately 8.8 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

(888) 882-4975 (toll-free)
www.tva.com/finance