EXHIBIT 99-2











SECURITIES AND EXCHANGE COMMISSION
Washington, D. C.  20549



FORM 11-K
ANNUAL REPORT



Pursuant to Section 15(d) of the
Securities Act of 1934





For the fiscal year ended December 31, 1999









New York State Electric & Gas Corporation
Tax Deferred Savings Plan for Hourly Paid Employees



(Full title of the plan)









Energy East Corporation



(Name of issuer of the securities held pursuant to the plan)









P. O. Box 12904, Albany, New York  12212-2904



(Address of principal executive office)





REQUIRED INFORMATION

The Tax Deferred Savings Plan for Hourly Paid Employees ("Plan") is subject to the Employee Retirement Income Security Act of 1974 ("ERISA").  Therefore, in lieu of the requirements of Items 1-3 of Form 11-K, the financial statements and
schedules of the Plan for the two fiscal years ended December 31, 1999 and 1998, which have been prepared in accordance with the financial reporting requirements of ERISA, are attached hereto as Appendix 1 and incorporated herein by reference.





SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the Committee to administer the Tax Deferred Savings Plan for Hourly Paid Employees has duly caused this Annual Report to be signed by the undersigned hereunto duly authorized.



New York State Electric & Gas Corporation Tax 
Deferred Savings Plan for Hourly Paid Employees











|By | /s/Richard R. Benson    | March 17, 2000
|-- | ----------------------- | --------------
|   | Richard R. Benson       |               
|   | Committee Member        |               
|   |                         |               
|   |                         |               
|By | /s/Robert D. Kump       | March 17, 2000
|   | Robert D. Kump          |               
|   | Committee Member        |               
|   |                         |               
|   |                         |               
|By | /s/Sherwood J. Rafferty | March 17, 2000
|   | Sherwood J. Rafferty    |               
|   | Committee Member        |               





APPENDIX 1



NEW YORK STATE ELECTRIC & GAS CORPORATION
TAX DEFERRED SAVINGS PLAN FOR HOURLY PAID EMPLOYEES





FINANCIAL STATEMENTS AS OF AND
FOR THE YEARS ENDED DECEMBER 31, 1999 AND 1998
SUPPLEMENTAL SCHEDULES AS OF AND FOR THE YEAR ENDED
DECEMBER 31, 1999 AND REPORT OF THE INDEPENDENT ACCOUNTANTS











New York State Electric & Gas Corporation
Tax Deferred Savings Plan for Hourly Paid Employees



Year ended December 31, 1999





INDEX





|Report of Independent Accountants                                                                      | 1 
|------------------------------------------------------------------------------------------------------ | --
|Statements of Net Assets Available for Benefits --
  December 31, 1999 and 1998                        | 2 
|Statements of Changes in Net Assets Available for Benefits --
  Years ended December 31, 1999 and 1998 | 3 
|Notes to Financial Statements                                                                          | 4 
|Line 27a - Schedule of Assets Held for Investment Purposes --
  December 31, 1999                      | 9 
|Line 27d - Schedule of Reportable Transactions -- 
  Year ended December 31, 1999                      | 10
|Consent of Independent Accountants                                                                     | 11





REPORT OF INDEPENDENT ACCOUNTANTS



New York State Electric & Gas Corporation
Tax Deferred Savings Plan for Hourly Paid Employees
Administrative Committee



In our opinion, the accompanying statements of net assets available for benefits and the related statements of changes in net assets available for benefits present fairly, in all material respects, the net assets available for benefits of New York
State Electric & Gas Corporation Tax Deferred Savings Plan for Hourly Paid Employees at December 31, 1999 and 1998, and the changes in net assets available for benefits for the years then ended, in conformity with accounting principles generally
accepted in the United States.  These financial statements are the responsibility of the Plan's management; our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits of these
statements in accordance with auditing standards generally accepted in the United States which require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement.  
An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial
statement presentation.  We believe that our audits provide a reasonable basis for the opinion expressed above.

Our audits were conducted for the purpose of forming an opinion on the basic financial statements taken as a whole.  The accompanying supplemental schedules of assets held for investment purposes as of December 31, 1999, and reportable
transactions for the year ended December 31, 1999, are presented for the purpose of additional analysis and are not a required part of the basic financial statements but are supplementary information required by the Department of Labor's Rules and
Regulations for Reporting and Disclosure under the Employee Retirement Income Security Act of 1974.  The supplemental schedules have been subjected to the auditing procedures applied in the audit of the basic financial statements and, in our
opinion, are fairly stated in all material respects in relation to the basic financial statements taken as a whole.

The schedule of assets held for investment purposes and the schedule of reportable transactions that accompany the Plan's financial statements do not disclose the historical cost of certain plan assets held by the Plan trustee.  Disclosure of
this information is required by the Department of Labor's Rules and Regulations for Reporting and Disclosure under the Employee Retirement Income Security Act of 1974.



PricewaterhouseCoopers LLP

Syracuse, New York
March 10, 2000



New York State Electric & Gas Corporation
Tax Deferred Savings Plan for Hourly Paid Employees
Statements of Net Assets Available for Benefits
December 31, 1999 and 1998







|                                     |              |             
|------------------------------------ | ------------ | ------------
|                                     | 1999         | 1998        
|Assets                               |              |             
|Investments, at fair value:          |              |             
|Mutual funds                         | $155,731,295 | $123,044,603
|Energy East Corporation common stock | 41,677,451   | 56,490,430  
|Loans to participants                | 4,285,302    | 4,330,515   
|                                     |              |             
|Net assets available for benefits    | $201,694,048 | $183,865,548









See notes to financial statements.





New York State Electric & Gas Corporation
Tax Deferred Savings Plan for Hourly Paid Employees
Statements of Changes in Net Assets Available for Benefits
Years ended December 31, 1999 and 1998







|                                                         |              |             
|-------------------------------------------------------- | ------------ | ------------
|                                                         | 1999         | 1998        
|Additions                                                |              |             
|Investment income:                                       |              |             
|Net appreciation in fair value
    of investments        | $6,424,668   | $30,970,422 
|                                                         |              |             
|Dividends:                                               |              |             
|Energy East Corporation common stock                     | 1,729,151    | 1,626,000   
|Mutual funds                                             | 13,477,350   | 7,693,858   
|Interest on investments                                  | -            | 534,343     
|Interest on loans to participants                        | 350,766      | 327,434     
|                                                         |              |             
|                                                         | 21,981,935   | 41,152,057  
|Contributions:                                           |              |             
|Employer                                                 | 1,351,625    | 1,377,387   
|Employee                                                 | 10,245,694   | 10,844,190  
|Transfers from (to) other qualified plans                | 354,968      | (557,761)   
|                                                         |              |             
|Total additions                                          | 33,934,222   | 52,815,873  
|Deductions:                                              |              |             
|Withdrawal benefits - stock                              | 3,348,327    | 1,207,669   
|Withdrawal benefits - cash                               | 12,749,445   | 4,241,558   
|Administrative fees                                      | 7,951        | 15,568      
|                                                         |              |             
|Total deductions                                         | 16,105,723   | 5,464,795   
|                                                         |              |             
|Net increase                                             | 17,828,499   | 47,351,078  
|Net assets available for benefits at
  beginning of year | 183,865,549  | 136,514,470 
|Net assets available for benefits at
  end of year       | $201,694,048 | $183,865,548
|                                                         |              |             
|                                                         |              |             
|                                                         |              |             





See notes to financial statements.



New York State Electric & Gas Corporation
Tax Deferred Savings Plan for Hourly Paid Employees



Notes to Financial Statements



December 31, 1999 and 1998



1.   DESCRIPTION OF THE HOURLY PAID PLAN

The New York State Electric & Gas Corporation Tax Deferred Savings Plan for Hourly Paid Employees (the Hourly Paid Plan) was established effective January 1, 1986, to provide for before-tax contributions in accordance with Internal Revenue Code
(Code) Section 401(k).

The Hourly Paid Plan is a defined contribution plan covering hourly paid employees of New York State Electric & Gas Corporation (the company), as well as the hourly paid employees of Energy East Corporation's (Energy East) family of companies that
elect to participate under the Hourly Paid Plan provisions.  Energy East, the parent corporation of the company, through its subsidiaries, delivers electricity and natural gas to retail customers and provides electricity, natural gas, energy
management and other services to retail and wholesale customers in the Northeast.

An hourly paid employee may become a participant in the Hourly Paid Plan as of the first day of any calendar month that commences after the completion of the employee's first 30 days of employment.

In connection with the 1999 sale of the coal-fired generation assets by one of Energy East's subsidiaries, net assets of the Hourly Paid Plan related to affected employees of the subsidiary were transferred to another plan, distributed to the
participant, or remain in the Hourly Paid Plan.

2.   SIGNIFICANT ACCOUNTING POLICIES

Basis of Presentation

The financial statements are prepared on an accrual basis and in conformity with accounting principles generally accepted in the United States, which require management to make estimates and assumptions that affect the reported amounts of assets and
liabilities and disclosure of contingent assets and liabilities at the date of the financial statements.  Estimates also affect the reported amounts of additions and deductions during the reporting period.  Actual results could differ
from those estimates.

Reclassification

Certain amounts have been reclassified on the financial statements to conform with the 1999 presentation.

Investments

Investments consisting of publicly traded Energy East common stock and various Putnam investment funds are carried at fair value using the closing market price on the last business day of the year.  Loans to participants are valued at cost
which approximates fair value.





New York State Electric & Gas Corporation
Tax Deferred Savings Plan for Hourly Paid Employees



Notes to Financial Statements



December 31, 1999 and 1998



2.   SIGNIFICANT ACCOUNTING POLICIES  (Continued)



Investments  (Continued)

The Hourly Paid Plan presents, in the statement of changes in net assets available for benefits, the net appreciation (depreciation) in the fair value of its investments which consists of the realized gains and losses and the unrealized appreciation
(depreciation) on those investments.

Contributions

Contributions to the Hourly Paid Plan are allocated to participant accounts.  Participants have full and immediate vesting rights in employee and employer contributions, investment earnings and other amounts allocated to their accounts.

Employee contributions, with certain exceptions, range from 1% to 20% of the participant's base compensation and may include overtime pay.  Subject to limitations stipulated by the Code, a participant's total contribution could not exceed
$10,000 per year in 1999 and 1998.

The company contributes solely to the Stock Fund an amount equivalent to 25% of the participant's contributions to any fund (up to 1.5% of the participant's annual base compensation as of the first day of the year). While company contributions may not
be transferred to other investment fund options, the earnings thereon may be transferred at the participant's election.

Benefit Payments

On termination of service a participant may elect either a lump sum amount equal to the value of the participant's interest in his or her account, or installments over a period permissible under the Code.  Distributions from all funds, except
the Stock Fund, are made in cash.  Distributions from the Stock Fund are made in either whole shares of Energy East common stock or in cash, as specified by the participant and subject to approval by the Hourly Paid Plan's administrative committee
 .

As of December 31, 1999, plan assets include $35,071,579 in amounts allocated to participants who have withdrawn from the Hourly Paid Plan, due to termination, retirement or disability but for which disbursement of funds has not yet occurred.





New York State Electric & Gas Corporation
Tax Deferred Savings Plan for Hourly Paid Employees



Notes to Financial Statements



December 31, 1999 and 1998



2.   SIGNIFICANT ACCOUNTING POLICIES  (Continued)

Loans

Participants may, under certain circumstances, borrow against their account

balances.  The principal amount of the loan is subject to certain limitations as defined in the Hourly Paid Plan document.  The term of the loan may not exceed five years, and the interest rate established by the Hourly Paid Plan's
administrative committee provides the Hourly Paid Plan with a return commensurate with the interest rate charged by persons in the business of lending money for loans which would be made under similar circumstances. Interest rates range from 6.5% to
10.5%.  The loan must be repaid by payroll deductions over the term of the loan.  Loan payments are credited to an applicable fund based upon the participant's election.  If a participant's employment terminates for any
reason, the loan will become immediately due and payable.

Risks and Uncertainties

The Hourly Paid Plan provides for various investment options in any combination of stocks and mutual funds.  Investment securities are exposed to various risks, such as interest rate, market, and credit.  Due to the level of risk
associated with certain investment securities, it is at least reasonably possible that changes in risks in the near term would materially affect participant's account balances and the amounts reported in the statement of net assets available for benefits
and the statement of changes in net assets available for benefits.

Plan Termination

Although the company has not expressed any intent to terminate the Hourly Paid Plan, it has the right to discontinue contributions at any time and terminate the Hourly Paid Plan subject to the provisions of its collective bargaining agreement. 
 In the event of termination of the Hourly Paid Plan, the net assets of the Hourly Paid Plan are set aside, first for payment of all Hourly Paid Plan expenses and, second, for distribution to the participants, based upon the balances in their
individual accounts.

3.   INVESTMENTS

Contributions by the participants are invested, at the election of the participant, in one or a combination of the following twelve funds as described by the Hourly Paid Plan administrator:(1) the Voyager Fund, which invests in a mutual fund consisting
primarily of common stock; (2) the Fund for Growth and Income, which invests in a mutual fund consisting primarily of common stock; (3) the U.S. Government Income Trust Fund, which invests in a mutual fund consisting of securities that are backed by the
full faith and credit of the United States Government; (4) the Money Market Fund, which invests in a mutual fund consisting of money market instruments; (5) the Common Stock Fund, consisting of common stock of Energy East; (6) the Income Fund, which
invests in a mutual fund consisting of debt

New York State Electric & Gas Corporation
Tax Deferred Savings Plan for Hourly Paid Employees



Notes to Financial Statements



December 31, 1999 and 1998



3.   INVESTMENTS  (Continued)

securities, including both government and corporate obligations, preferred stocks and dividend-paying common stocks; (7) the OTC and Emerging Growth Fund, which invests in a mutual fund consisting mainly of common stocks traded in the over-the-counter
market and common stocks of "emerging growth" companies listed on designated securities exchanges; (8) the International Growth Fund, which invests in a mutual fund consisting primarily of equity securities of companies located in a country other than the
United States; (9) the Global Growth Fund, which invests in a mutual fund consisting primarily of U.S. and international common stocks; or (10) the three Asset Allocation funds, consisting primarily of equity and fixed income securities.

At December 31, 1999, the Stock Fund contains net assets of approximately $16,148,000 that are non-participant directed as a result of the accumulation of matching contributions made by the company and the related earnings on those contributions. 
 Non-participant directed company contributions and earnings amounted to $1,352,000 and ($5,137,000) in 1999. Benefit payments from this non-participant directed fund amounted to $1,452,000 in 1999.

All funds of the Hourly Paid Plan, with the exception of the Stock Fund, invest in mutual funds of Putnam Mutual Funds, a subsidiary of Putnam Investments, Inc., which represents a concentration risk.

Individual investments that represent 5% or more of the net assets available for benefits as of December 31, 1999, are as follows:



|Putnam Voyager Fund                  | $70,308,963
|------------------------------------ | -----------
|Putnam Fund for Growth and Income    | 42,166,157 
|Putnam Money Market Fund             | 11,382,297 
|Putnam Global Growth                 | 12,302,584 
|Energy East Corporation common stock | 41,677,451 

Individual investments appreciated (depreciated) during 1999 and 1998 are as follows:

|Investment Option                                   | 1999         | 1998       
|--------------------------------------------------- | ------------ | -----------
|                                                    |              |            
|Putnam Voyager Fund                                 | $19,289,737  | $5,329,829 
|Putnam Fund for Growth and Income                   | (3,676,820)  | 1,846,272  
|Putnam U.S. Government Income Trust Fund            | (223,249)    | 7,340      
|Putnam Money Market Fund                            | 2,943        | -          
|Putnam Income Fund                                  | (38,998)     | (2,252)    
|Putnam OTC and Emerging Growth Fund                 | 1,353,720    | 124,678    
|Putnam International Growth Fund                    | 195,559      | 12,441     
|Putnam Global Growth Fund                           | 3,744,081    | 1,320,177  
|Putnam Asset Allocation - Growth Portfolio          | 543,120      | 371,655    
|Putnam Asset Allocation - Balanced Portfolio        | 261,208      | 236,973    
|Putnam Asset Allocation - Conservative Portfolio    | 28,031       | 50,717     
|Energy East Corporation common stock                | (15,054,664) | 21,672,592 
|                                                    |              |            
|Total net appreciation in fair value of investments | $6,424,668   | $30,970,422



New York State Electric & Gas Corporation
Tax Deferred Savings Plan for Hourly Paid Employees



Notes to Financial Statements



December 31, 1999 and 1998



4.   INCOME TAX STATUS

The company has received a determination letter from the Internal Revenue Service, dated June 3, 1994, that the Hourly Paid Plan qualifies as a tax deferred savings plan under Sections 401(a) and 401(k) of the Code.  The Hourly Paid Plan has
been amended subsequent to the receipt of the latest determination letter.  However, the Hourly Paid Plan's administrator believes that the Hourly Paid Plan is designed and currently being operated in compliance with the applicable requirements
of the Code.

5.   TRANSACTIONS WITH PARTIES-IN-INTEREST

All administrative fees are paid by the participants in the Hourly Paid Plan.  Audit and legal fees are paid by the company.







New York State Electric & Gas Corporation
Tax Deferred Savings Plan for Hourly Paid Employees



Line 27a - Schedule of Assets Held for Investment Purposes



December 31, 1999



|Name of Issuer and Title of Issue                    | Balance Held at
End of Year | Cost** | Market
Value
|---------------------------------------------------- | --------------------------- | ------ | ------------
|                                                     |                             |        |             
|Capital Appreciation Fund                            |                             |        |             
|*Putnam Voyager Fund                                 | 2,224,967 shares            |        | $70,308,963 
|                                                     |                             |        |             
|Equity Fund                                          |                             |        |             
|*Putnam Fund for Growth and Income                   | 2,246,465 shares            |        | 42,166,157  
|                                                     |                             |        |             
|Government Obligation Fund                           |                             |        |             
|*Putnam U.S. Government Income Trust Fund            | 310,272 shares              |        | 3,825,653   
|                                                     |                             |        |             
|Money Market Fund                                    |                             |        |             
|*Putnam Money Market Fund                            | 11,384,437 shares           |        | 11,384,437  
|                                                     |                             |        |             
|Income Fund                                          |                             |        |             
|*Putnam Income Fund                                  | 80,641 shares               |        | 514,491     
|                                                     |                             |        |             
|Growth Fund                                          |                             |        |             
|*Putnam OTC and Emerging Growth Fund                 | 104,069 shares              |        | 3,894,264   
|                                                     |                             |        |             
|International Growth Fund                            |                             |        |             
|*Putnam International Growth Fund                    | 25,592 shares               |        | 762,371     
|                                                     |                             |        |             
|Global Growth Fund                                   |                             |        |             
|*Putnam Global Growth Fund                           | 649,556 shares              |        | 12,302,584  
|                                                     |                             |        |             
|Asset Allocation - Growth Portfolio                  |                             |        |             
|*Putnam Asset Allocation - Growth
Portfolio          | 324,295 shares              |        | 4,958,480   
|                                                     |                             |        |             
|Asset Allocation - Balanced Portfolio                |                             |        |             
|*Putnam Asset Allocation - Balanced
  Portfolio      | 278,553 shares              |        | 3,612,828   
|                                                     |                             |        |             
|Asset Allocation - Conservative Portfolio            |                             |        |             
|*Putnam Asset Allocation - 
  Conservative Portfolio | 189,495 shares              |        | 2,001,067   
|                                                     |                             |        |             
|Total Mutual Fund Investments                        |                             |        | $155,731,295
|                                                     |                             |        |             
|Stock Fund                                           |                             |        |             
|*Energy East Corporation common stock                | 2,002,520 shares            |        | $41,677,451 
|                                                     |                             |        |             
|Participant Loans - interest rates                   |                             |        |             
|from 6.5% to 10.5%                                   |                             |        | $4,285,302  







* Denotes a party-in-interest.
** Information pertaining to the historical cost was not available from the trustee.







New York State Electric & Gas Corporation
Tax Deferred Savings Plan for Hourly Paid Employees



Line 27d - Schedule of Reportable Transactions



Year ended December 31, 1999



|Description of Assets                                                  | Purchase
Price | Selling
Price | Current Value
of Asset on
Transaction
Date | Net Gain
(Loss)
|---------------------------------------------------------------------- | -------------- | ------------- | ------------------------------------------ | ---------------
|                                                                       |                |               |                                            |                
|Category (iii) - Series of transactions in excess of 5% of plan assets |                |               |                                            |                
|                                                                       |                |               |                                            |                
|                                                                       |                |               |                                            |                
|*Putnam Voyager Fund                                                   |                |               |                                            |                
|(Capital Appreciation)                                                 |                |               |                                            |                
|Purchases                                                              | $16,036,531    |               | $16,036,531                                |                
|Sales                                                                  | **             | $9,790,246    | $9,790,246                                 | **             
|                                                                       |                |               |                                            |                
|*Putnam Fund for Growth                                                |                |               |                                            |                
|& Income (Equity)                                                      |                |               |                                            |                
|Purchases                                                              | $10,189,663    |               | $10,189,663                                |                
|Sales                                                                  | **             | $8,993,713    | $8,993,713                                 | **             
|                                                                       |                |               |                                            |                
|*Putnam Money Market Fund                                              |                |               |                                            |                
|(Money Market)                                                         |                |               |                                            |                
|Purchases                                                              | $10,160,519    |               | $10,160,519                                |                
|Sales                                                                  | **             | $10,910,659   | $10,910,659                                | **             
|                                                                       |                |               |                                            |                
|*Energy East Corporation  common stock (Stock)                         |                |               |                                            |                
|Purchases                                                              | $8,133,908     |               | $8,133,908                                 |                
|Sales                                                                  | **             | $7,892,429    | $7,892,429                                 | **             







There were no category (i), (ii), or (iv) reportable transactions during 1999.

* Denotes a party-in-interest.
** Information pertaining to the historical cost was not available from the trustee.



















Consent of Independent Accountants



We consent to the incorporation by reference in the Registration Statement (Form S-8 No. 333-16201) pertaining to the New York State Electric & Gas Corporation Tax Deferred Savings Plan for Hourly Paid Employees of our report dated March 10, 2000,
with respect to the financial statements and schedules of the New York State Electric & Gas Corporation Tax Deferred Savings Plan for Hourly Paid Employees for the year ended December 31, 1999, which report is included in this Annual Report on Form 11-K
 .







PricewaterhouseCoopers LLP



Syracuse, New York
March 17, 2000