SECURITIES AND EXCHANGE COMMISSION



(Mark One)
[X]  QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE 
      ACT OF 1934
      For the quarterly period ended  March 31, 2001

OR

[  ]  TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE
      ACT OF 1934
      For the transition period from  to

|Commissionfile number | Exact name of Registrant as specified in its charter,State of incorporation, Address and Telephone number                   | IRS Employer Identification No.
|--------------------- | --------------------------------------------------------------------------------------------------------------------------- | -------------------------------
|1-14766               | Energy East Corporation(A New York Corporation)
P. O. Box 12904
Albany, New York 12212-2904
(518) 434-3049                  | 14-1798693                     
|1-5139                | Central Maine Power Company(A Maine Corporation)
83 Edison Drive
Augusta, Maine 04336
(207) 623-3521                        | 01-0042740                     
|1-3103-2              | New York State Electric & Gas Corporation(A New York Corporation)
P. O. Box 3287
Ithaca, New York 14852-3287
(607) 347-4131 | 15-0398550                     

Indicate by check mark whether each registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to
file such reports), and (2) has been subject to such filing requirements for the past 90 days.
Yes X   No

As of April 30, 2001, shares of common stock outstanding for each registrant were:

|Registrant                                | Description                   | Shares        
|----------------------------------------- | ----------------------------- | --------------
|Energy East Corporation                   | Par value $.01 per share      | 116,349,598   
|Central Maine Power Company               | Par value $5 per share        | 31,211,471 (1)
|New York State Electric & Gas Corporation | Par value $6.66 2/3 per share | 64,508,477 (2)

(1)

This combined Form 10-Q is separately filed by Energy East Corporation, Central Maine Power CompanyandNew York State Electric & Gas Corporation. Information contained herein relating to any individual registrant is filed by such
registrant on its own behalf. Each registrant makes no representation as to information relating to the other registrants.



|Item          | TABLE OF CONTENTS                                                                                                                                                                                                                                                                                                                                                                                      | Page                
|------------- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------ | --------------------
|              | PART I - FINANCIAL INFORMATION                                                                                                                                                                                                                                                                                                                                                                         |                     
|1
2           | Financial Statements
and
Management's Discussion and Analysis of Financial Condition 
  and Results of Operations                                                                                                                                                                                                                                                                                      |                     
|              | Energy East Corporation
  Consolidated Statements of Income
  Consolidated Balance Sheets
  Consolidated Statements of Cash Flows
  Consolidated Statements of Retained Earnings
  Consolidated Statements of Comprehensive Income
  Management's Discussion and Analysis of Financial Condition 
    and Results of Operations
  (a) Liquidity and Capital Resources
  (b) Results of Operations      | 1
2
4
5
5
6
9       
|              | Central Maine Power Company
  Consolidated Statements of Income 
  Consolidated Balance Sheets
  Consolidated Statements of Cash Flows
  Consolidated Statements of Retained Earnings
  Consolidated Statements of Comprehensive Income
  Management's Discussion and Analysis of Financial Condition 
    and Results of Operations
  (a) Liquidity and Capital Resources
  (b) Results of Operations | 11
12
14
15
15
16
16
|              | New York State Electric & Gas Corporation
  Statements of Income 
  Balance Sheets
  Statements of Cash Flows
  Statements of Retained Earnings
  Statements of Comprehensive Income
  Management's Discussion and Analysis of Financial Condition 
    and Results of Operations
  (a) Liquidity and Capital Resources
  (b) Results of Operations                                                    | 17
18
20
21
21
22
22
|              | Notes to Financial Statements
Forward-looking Statements                                                                                                                                                                                                                                                                                                                                               | 24
27               
|3             | Quantitative and Qualitative Disclosures About Market Risk                                                                                                                                                                                                                                                                                                                                             | 28                  
|              | PART II - OTHER INFORMATION                                                                                                                                                                                                                                                                                                                                                                            |                     
|1             | Legal Proceedings                                                                                                                                                                                                                                                                                                                                                                                      | 28                  
|6             | Exhibits and Reports on Form 8-K
(a) Exhibits
(b) Reports on Form 8-K                                                                                                                                                                                                                                                                                                                                  | 29
29               
|Signatures    | 30                                                                                                                                                                                                                                                                                                                                                                                                    
|Exhibit Index | 31                                                                                                                                                                                                                                                                                                                                                                                                    



PART I - FINANCIAL INFORMATION

Item 1.  Financial Statements

Energy East Corporation
Consolidated Statements of Income - (Unaudited)

|Three Months Ended March 31                       | 2001                                  | 2000    
|------------------------------------------------- | ------------------------------------- | --------
|                                                  | (Thousands, except per share amounts)
|Operating Revenues                                |                                       |         
|Sales and services                                | $1,271,139                            | $684,426
|Operating Expenses                                |                                       |         
|Electricity purchased and fuel used in generation | 352,629                               | 231,347 
|Natural gas purchased                             | 369,471                               | 111,813 
|Other operating expenses                          | 140,739                               | 76,651  
|Maintenance                                       | 36,013                                | 21,019  
|Depreciation and amortization                     | 51,339                                | 32,960  
|Other taxes                                       | 58,420                                | 41,309  
|Total Operating Expenses                          | 1,008,611                             | 515,099 
|Operating Income                                  | 262,528                               | 169,327 
|Other (Income) and Deductions                     | 1,246                                 | (7,596) 
|Interest Charges, Net                             | 55,625                                | 28,412  
|Preferred Stock Dividends of Subsidiaries         | 478                                   | 99      
|Income Before Income Taxes                        | 205,179                               | 148,412 
|Income Taxes                                      | 89,578                                | 55,085  
|Net Income                                        | $115,601                              | $93,327 
|Earnings Per Share, basic and diluted             | $.98                                  | $.83    
|Dividends Paid Per Share                          | $.23                                  | $.22    
|Average Common Shares Outstanding                 | 117,386                               | 112,777 

The notes on pages 24 through 27 are an integral part of the financial statements.





Item 1.

Energy East Corporation
Consolidated Balance Sheets - (Unaudited)

|                                              | March 31,
2001 | Dec. 31,
2000
|--------------------------------------------- | -------------- | -------------
|Assets                                        | (Thousands)   
|Current Assets                                |                |              
|Cash and cash equivalents                     | $153,149       | $143,626     
|Special deposits                              | 21,573         | 21,516       
|Accounts receivable, net                      | 584,375        | 536,280      
|Fuel, at average cost                         | 19,790         | 65,496       
|Materials and supplies, at average cost       | 23,156         | 22,759       
|Accumulated deferred income tax benefits, net | 5,955          | 5,007        
|Prepayments                                   | 60,630         | 57,720       
|Total Current Assets                          | 868,628        | 852,404      
|Utility Plant, at Original Cost               |                |              
|Electric                                      | 4,684,798      | 4,784,312    
|Natural gas                                   | 1,680,084      | 1,665,386    
|Common                                        | 213,464        | 220,124      
|                                              | 6,578,346      | 6,669,822    
|Less accumulated depreciation                 | 3,007,063      | 3,096,283    
|Net Utility Plant in Service                  | 3,571,283      | 3,573,539    
|Construction work in progress                 | 41,106         | 59,389       
|Total Utility Plant                           | 3,612,389      | 3,632,928    
|Other Property and Investments, Net           | 270,677        | 259,708      
|Regulatory and Other Assets                   |                |              
|Regulatory assets                             |                |              
|Nuclear plant obligations                     | 236,089        | 234,929      
|Unfunded future income taxes                  | 186,755        | 184,570      
|Unamortized loss on debt reacquisitions       | 57,515         | 58,848       
|Demand-side management program costs          | 41,231         | 48,929       
|Environmental remediation costs               | 77,508         | 78,406       
|Other                                         | 227,918        | 241,396      
|Total regulatory assets                       | 827,016        | 847,078      
|Other assets                                  |                |              
|Goodwill, net                                 | 945,730        | 952,358      
|Prepaid pension benefits                      | 372,287        | 350,038      
|Other                                         | 162,392        | 119,214      
|Total other assets                            | 1,480,409      | 1,421,610    
|Total Regulatory and Other Assets             | 2,307,425      | 2,268,688    
|Total Assets                                  | $7,059,119     | $7,013,728   

The notes on pages 24 through 27 are an integral part of the financial statements.





Item 1.

Energy East Corporation
Consolidated Balance Sheets - (Unaudited)

|                                                                                                 | March 31,
2001 | Dec. 31,
2000
|------------------------------------------------------------------------------------------------ | -------------- | -------------
|Liabilities                                                                                      | (Thousands)   
|Current Liabilities                                                                              |                |              
|Current portion of long-term debt                                                                | $34,328        | $25,285      
|Notes payable                                                                                    | 393,279        | 418,995      
|Accounts payable and accrued liabilities                                                         | 241,636        | 345,424      
|Interest accrued                                                                                 | 54,890         | 35,309       
|Taxes accrued                                                                                    | 89,926         | -            
|Other                                                                                            | 143,779        | 211,784      
|Total Current Liabilities                                                                        | 957,838        | 1,036,797    
|Regulatory and Other Liabilities                                                                 |                |              
|Regulatory liabilities                                                                           |                |              
|Deferred income taxes                                                                            | 100,911        | 91,421       
|Deferred income taxes, unfunded future income taxes                                              | 76,247         | 75,473       
|Gain on sale of generation assets                                                                | 226,522        | 232,041      
|Pension benefits                                                                                 | 95,295         | 96,514       
|Other                                                                                            | 78,653         | 76,813       
|Total regulatory liabilities                                                                     | 577,628        | 572,262      
|Other liabilities                                                                                |                |              
|Deferred income taxes                                                                            | 472,125        | 457,495      
|Nuclear plant obligations                                                                        | 236,089        | 234,929      
|Other postretirement benefits                                                                    | 276,067        | 279,864      
|Environmental remediation costs                                                                  | 91,486         | 91,811       
|Other                                                                                            | 221,425        | 233,910      
|Total other liabilities                                                                          | 1,297,192      | 1,298,009    
|Total Regulatory and Other Liabilities                                                           | 1,874,820      | 1,870,271    
|Long-term debt                                                                                   | 2,361,574      | 2,346,814    
|Total Liabilities                                                                                | 5,194,232      | 5,253,882    
|Commitments                                                                                      | -              | -            
|Preferred Stock of Subsidiaries
 Preferred stock redeemable solely at the option of subsidiaries | 43,332         | 43,324       
|Common Stock Equity
 Common stock                                                                | 1,185          | 1,191        
|Capital in excess of par value                                                                   | 859,319        | 871,078      
|Retained earnings                                                                                | 1,006,598      | 918,016      
|Accumulated other comprehensive income                                                           | (6,607)        | (34,823)     
|Treasury stock, at cost                                                                          | (38,940)       | (38,940)     
|Total Common Stock Equity                                                                        | 1,821,555      | 1,716,522    
|Total Liabilities and Stockholders' Equity                                                       | $7,059,119     | $7,013,728   

The notes on pages 24 through 27 are an integral part of the financial statements.





Item 1.

Energy East Corporation
Consolidated Statements of Cash Flows - (Unaudited)

|Three Months Ended March 31                                                                              | 2001                      | 2000                                 
|-------------------------------------------------------------------------------------------------------- | ------------------------- | -------------------------------------
|Operating Activities                                                                                     | (Thousands)              
|Net income                                                                                               | $115,601                  | $93,327                              
|Adjustments to reconcile net income to net cash
  provided by operating activities                       |                           |                                      
|Depreciation and amortization                                                                            | 51,339                    | 32,960                               
|Income taxes and investment tax 
     credits deferred, net                                              | 3,653                     | (8,661)                              
|Pension income                                                                                           | (18,675)                  | (16,133)                             
|Changes in current operating assets and liabilities                                                      |                           |                                      
|Accounts receivable                                                                                      | (48,095)                  | 1,670                                
|Inventory                                                                                                | 45,309                    | 10,718                               
|Prepayments                                                                                              | (2,910)                   | (12,026)                             
|Accounts payable and accrued liabilities                                                                 | (103,788)                 | (25,338)                             
|Interest accrued                                                                                         | 19,581                    | 9,375                                
|Taxes accrued                                                                                            | 89,926                    | 59,272                               
|Other current liabilities                                                                                | (68,005)                  | (32,201)                             
|Other, net                                                                                               | 12,004                    | 5,529                                
|Net Cash Provided by Operating Activities                                                                | 95,940                    | 118,492                              
|Investing Activities                                                                                     |                           |                                      
|Acquisition, net of cash acquired                                                                        | -                         | (212,025)                            
|Utility plant additions                                                                                  | (32,790)                  | (18,585)                             
|Temporary investments, net                                                                               | -                         | 284,177                              
|Other property and investments                                                                           | (13,343)                  | (5,239)                              
|Other                                                                                                    | 526                       | (7,318)                              
|Net Cash (Used in) Provided by Investing Activities                                                      | (45,607)                  | 41,010                               
|Financing Activities                                                                                     |                           |                                      
|Repurchase of common stock                                                                               | (11,765)                  | (52,052)                             
|Repayments of first mortgage bonds and preferred
   stock of subsidiaries, including net premiums        | (469)                     | (83,137)                             
|Long-term note issuances                                                                                 | 25,000                    | -                                    
|Long-term note retirements                                                                               | (841)                     | (102)                                
|Notes payable, net                                                                                       | (25,716)                  | (82,600)                             
|Dividends on common stock                                                                                | (27,019)                  | (24,055)                             
|Net Cash Used in Financing Activities                                                                    | (40,810)                  | (241,946)                            
|Net Increase (Decrease) in Cash and Cash Equivalents                                                     | 9,523                     | (82,444)                             
|Cash and Cash Equivalents, Beginning of Period                                                           | 143,626                   | 116,806                              
|Cash and Cash Equivalents, End of Period                                                                 | $153,149                  | $34,362                              
|Supplemental Disclosure of Cash Flows Information                                                        |                           |                                      
|Cash paid during the period:
  Interest, net of amounts capitalized
  Income taxes                       | $34,338 
$7,946           | $18,227 
$6,636                      
|Acquisition:
  Fair value of assets acquired
  Liabilities assumed
  Common stock issued
  Cash acquired | -      
-      
-      
- | $585,512 
(152,251)
(215,382)
(5,854)
|Net cash paid for acquisition                                                                            | -                         | $212,025                             

The notes on pages 24 through 27 are an integral part of the financial statements.

Item 1.

Energy East Corporation
Consolidated Statements of Retained Earnings - (Unaudited)

|Three Months Ended March 31      | 2001        | 2000    
|-------------------------------- | ----------- | --------
|                                 | (Thousands)
|Balance, Beginning of Period     | $918,016    | $782,588
|                                 |             |         
|Add net income                   | 115,601     | 93,327  
|                                 |             |         
|Deduct dividends on common stock | 27,019      | 24,055  
|                                 |             |         
|Balance, End of Period           | $1,006,598  | $851,860

The notes on pages 24 through 27 are an integral part of the financial statements.



Energy East Corporation
Consolidated Statements of Comprehensive Income - (Unaudited)

|Three Months Ended March 31                                                                                                                            | 2001        | 2000   
|------------------------------------------------------------------------------------------------------------------------------------------------------ | ----------- | -------
|                                                                                                                                                       | (Thousands)
|Net income                                                                                                                                             | $115,601    | $93,327
|Other comprehensive income, net of tax                                                                                                                 |             |        
|Foreign currency translation adjustment                                                                                                                | -           | (11)   
|Net unrealized gain (loss) on investments                                                                                                              | (4,590)     | 1,526  
|Minimum pension liability adjustment                                                                                                                   | -           | (1,351)
|Unrealized gains on derivatives qualified as hedges                                                                                                    |             |        
|Unrealized gains on derivatives qualified as hedges
      arising during the period due to cumulative effect of a
      change in accounting principle | 58,250      | -      
|Unrealized losses on derivatives qualified as hedges                                                                                                   | (14,410)    | -      
|Reclassification adjustment for gains included in net income                                                                                           | (11,034)    | -      
|Net unrealized gains on derivatives qualified as hedges                                                                                                | 32,806      | -      
|Total other comprehensive income                                                                                                                       | 28,216      | 164    
|Comprehensive Income                                                                                                                                   | $143,817    | $93,491

The notes on pages 24 through 27 are an integral part of the financial statements.





Item 2.

Energy East Corporation

(a) Liquidity and Capital Resources

RGS Energy Merger Agreement

On February 20, 2001, Energy East Corporation (Energy East or the company) announced that it had entered into a merger agreement with RGS Energy Group, Inc. under which all of the outstanding common stock of RGS Energy would be exchanged for a
combination of cash and Energy East common stock valued at approximately $1.4 billion in the aggregate. The company will also assume approximately $1.0 billion of RGS Energy debt. RGS Energy will become a wholly-owned subsidiary of the company and the
transaction will be accounted for under the purchase method of accounting.

Under the merger agreement 45% of the RGS Energy common stock will be exchanged for Energy East common stock with a value of $39.50 per RGS Energy share, subject to restrictions on the minimum and maximum number of shares to be issued, and 55% of the
RGS Energy common stock will be converted into $39.50 in cash per RGS Energy share. RGS Energy shareholders will be able to elect the form of consideration they wish to receive, subject to proration. The company intends to finance the cash portion of the
transaction primarily through the issuance of long-term debt and preferred stock.

The merger is subject to, among other things, the approval of RGS Energy's shareholders and the approvals of various regulatory agencies, including the New York State Public Service Commission (NYPSC), Federal Energy Regulatory Commission (FERC),
Nuclear Regulatory Commission and Securities and Exchange Commission. The company has made filings with the NYPSC and FERC. All regulatory approvals are expected to be obtained by the first quarter of 2002. The merger is also subject to the company's
shareholders approving the issuance of Energy East shares in connection with the merger. Both RGS Energy's and Energy East's shareholder meetings are scheduled for June 15, 2001.

Electric Delivery Business

Sale of Millstone Unit No. 3: On March 31, 2001, Central Maine Power Company (CMP) sold its 2.5% ownership interest in the Millstone Unit No. 3 nuclear unit. The net proceeds from the sale, $1.3 million including unfunded deferred
taxes, were used to reduce a regulatory asset related to CMP's non-nuclear generating assets that were sold in 1999. CMP contributed $1.3 million to the qualified nuclear trust fund, as part of the sale agreement, and is released from any liability for
decommissioning the plant in the future.

CMP owns an interest in Vermont Yankee, an operating nuclear unit, which is in the process of being sold through an auction.

MPUC Delivery Price Decision: In March 2001, in response to price increases resulting from higher energy prices, the Maine Public Utilities Commission (MPUC) reduced CMP's delivery prices for certain medium and large customer classes by
0.8 cent per kilowatt hour, effective



Item 2.  Management's Discussion and Analysis of Financial Condition              and Results of Operations (Cont'd)

Energy East Corporation

April 15, 2001, through February 28, 2002. CMP expects that total revenues will not, however, be affected by this price reduction of approximately $30 million, because the MPUC is permitting CMP to amortize a corresponding amount into revenues
from CMP's gain on sale of generation assets account, established as a result of the sale of its non-nuclear generating assets.

On April 5, 2001, the Industrial Energy Consumer Group (IECG) filed a motion for reconsideration of the MPUC's decision to reduce CMP's delivery prices for certain medium and large customer classes by 0.8 cent per kilowatt-hour. The IECG requested an
increase in the price reduction from 0.8 cent to 1.0 cent per kilowatt-hour for all medium and large customer classes. As a result of this motion, the MPUC issued an order dated May 3, 2001, that retained the price reduction at 0.8 cent per kilowatt-hour
and extended it to more, but not all, medium and large customer classes for the period April 15, 2001, through February 28, 2002. CMP expects that total revenues will not be affected by this latest MPUC order because the resulting additional decrease of
approximately $4 million will be offset by amortizing a corresponding amount into revenues from CMP's gain on sale of generation assets account.

NYSEG's Price Protection Plan: On March 14, 2001, New York State Electric & Gas Corporation (NYSEG) filed an electric Price Protection Plan with the NYPSC that would modify and extend NYSEG's 1998 electric rate and restructuring
agreement for seven years from the date the plan is approved. The plan would, among other things: 1) freeze electricity prices for all customers at current levels for seven years and on March 3, 2002, implement the last 5% rate reduction under the
existing agreement for eligible high-load factor customers; 2) absorb, within current rates, escalating NUG and wholesale electricity costs over the term of the plan and annual inflation of up to 4%; and 3) provide all customers the opportunity to choose
an alternative electric power supplier.

NYPSC proceedings to review the Price Protection Plan are ongoing. NYSEG anticipates that the NYPSC will issue its decision about mid-year.

Retail Access Credit: In May 2000 the NYPSC instituted proceedings to review NYSEG's retail access credit (the amount backed out of a customer's bill when that customer participates in retail access). In September 2000 the NYPSC issued
an order denying a petition NYSEG had filed in August 2000 related to issues concerning its retail access credit. In January 2001 the NYPSC issued an order directing NYSEG to adopt a market-based retail access credit, effective February 1, 2001. As a
result of this order, NYSEG will be exposed to fluctuations in the spot price of electricity for customers who have chosen retail access. On April 26, 2001, the NYPSC issued an order denying NYSEG's request to recover costs and lost revenues associated
with the implementation of the market-based retail access credit. NYSEG is planning to seek rehearing of this order.

Independent System Operator: The New York Independent System Operator (NYISO) has operational control over certain transmission facilities of each of the New York transmission-owning utilities, including NYSEG. The NYISO administers
centralized capacity, energy, transmission and ancillary service markets, including operating reserves markets in New York.



Item 2.  Management's Discussion and Analysis of Financial Condition              and Results of Operation (Cont'd)

Energy East Corporation

In early 2000, the NYISO's operating reserves markets experienced problems that resulted in substantial charges to all customers required to buy operating reserves, including NYSEG. Several parties, including NYSEG, commenced FERC and court
proceedings in response to these problems. In May 2000, the FERC ordered a bid cap for a portion of the operating reserves markets until the market problems are corrected and the NYISO makes a filing to lift the cap but did not order refunds of earlier
higher operating reserves prices as sought by NYSEG. Several requests for rehearing and litigation are pending before FERC or the court.

In response to complaints and other filings by NYSEG and other parties that raised concerns over energy market flaws and tight supply, FERC approved in July 2000 a bid cap on energy of $1,000 per megawatt-hour in the NYISO's energy markets. FERC
subsequently extended the bid cap until April 30, 2001. On March 12, 2001, the NYISO filed with FERC a request to further extend the $1,000 per megawatt-hour bid cap until October 31, 2002. The bid cap limits the price NYSEG pays or receives for energy it
buys or sells in the NYISO energy markets.

The NYISO also administers a market power mitigation plan that helps to reduce price spikes under certain circumstances. In the second quarter of 2001, the NYISO adopted certain enhancements to the plan that are being challenged at FERC.

Natural Gas Delivery Business

Natural Gas Supply Alliance: Energy East's four natural gas companies, NYSEG; The Southern Connecticut Gas Company (SCG); Connecticut Natural Gas Corporation (CNG) and The Berkshire Gas Company (Berkshire Gas), entered into a one-year
strategic alliance agreement with BP Energy Company effective March 30, 2001, for the acquisition and management of natural gas supply. The alliance is expected to provide the companies with greater supply flexibility and enhance the benefits of a larger
natural gas portfolio as a result of Energy East's mergers that were completed in 2000. The alliance is based on sharing incremental savings. The Energy East natural gas companies have made appropriate regulatory filings concerning the alliance, seeking
approvals as required.

Southern Connecticut Gas Incentive Rate Plan: In December 2000 the Connecticut Department of Public Utility Control (DPUC) issued a decision in the SCG rate proceeding that is designed to establish a multi-year incentive rate plan (IRP).
The decision endorses the concept of an IRP and recommends a four-year price freeze, the continuation of the gas adjustment and weather-normalization clauses, a 50/50 sharing between customers and shareholders of earnings in excess of an 11.71% return on
common equity, a 50/50 sharing of merger-enabled gas supply savings, and service quality requirements to help ensure that customer service standards are met.

In January 2001 the Office of Consumer Counsel (OCC) filed an appeal in State Superior Court arguing that the DPUC's order approving the SCG IRP was unlawful. On March 30, 2001, the OCC filed a Motion to Stay the implementation of the DPUC's order.
The outcome of this appeal cannot be predicted, but the company believes it is without merit.



Item 2.  Management's Discussion and Analysis of Financial Condition              and Results of Operation (Cont'd)

Energy East Corporation

Connecticut Natural Gas Incentive Rate Plan: CNG proposed an IRP, similar to SCG's IRP, as a second phase of its rate case filed in November 1999. The IRP seeks the opportunity to share in returns on equity in excess of 11.8%, while
holding rates constant for four years. The IRP also includes certain performance and service measures that CNG must meet.

In May 2001 the DPUC issued a decision for the IRP, approving a four-year term and replacing the proposed sharing in returns on equity with a graduated sharing in returns on equity in excess of 10.8%. The excess over 10.8% would be shared among
shareholders and customers as follows: first 2% 75/25, next 4% 50/50 and over 6% 25/75. The performance and service measures were adopted, with certain adjustments and one addition. After-tax merger-related natural gas cost savings are to be shared 50/50.

Investing and Financing ActivitiesInvesting Activities: Capital spending for the first three months of 2001 was $46 million, including nuclear fuel. For 2001 capital spending is projected to be $226 million, including nuclear fuel, and is expected to be paid for with
internally generated funds. Capital spending will be primarily for the extension of energy delivery service, necessary improvements to existing facilities and compliance with environmental requirements.

Financing Activities: During the three months ended March 31, 2001, the company repurchased 0.6 million shares of its common stock at an average price of approximately $18.65 per share.

CMP issued on January 30, 2001, $25 million of 6.67% Series E Medium Term Notes due January 2006.



(b) Results of Operations

Due to the mergers completed in 2000, the company's results of operations for the first quarter of 2001 include Connecticut Energy Corporation (CNE), CMP Group, Inc, CTG Resources, Inc. and Berkshire Energy Resources. Results of operations for the
first quarter of 2000 include CNE beginning with February 2000.

|Three months ended March 31(Thousands, except per share amounts) | 2001       | 2000     | Change
|---------------------------------------------------------------- | ---------- | -------- | ------
|Operating Revenues                                               | $1,271,139 | $684,426 | 86%   
|Operating Income                                                 | $262,528   | $169,327 | 55%   
|Net Income                                                       | $115,601   | $93,327  | 24%   
|Average Common Shares Outstanding                                | 117,386    | 112,777  | 4%    
|Earnings Per Share, basic and diluted                            | $.98       | $.83     | 18%   
|Dividends Paid Per Share                                         | $.23       | $.22     | 5%    

Earnings per share for the quarter increased 15 cents compared to last year primarily due to earnings from the merged companies, higher retail electricity and natural gas deliveries because of colder weather this
quarter and the share repurchase program. Those increases were partially

Item 2.  Management's Discussion and Analysis of Financial Condition              and Results of Operation (Cont'd)

Energy East Corporation

offset by higher costs of energy, lower retail electricity prices and a non-recurring benefit in 2000 from a federal income tax audit adjustment. Due to the seasonal nature of the merged companies' businesses, earnings for 2001 are expected to be
stronger in the first and fourth quarters and weaker in the second and third quarters, as compared to last year.

Operating Results for the Electric Delivery Business

|Three months ended March 31(Thousands) | 2001     | 2000     | Change
|-------------------------------------- | -------- | -------- | ------
|Retail Deliveries - Megawatt-hours     | 6,204    | 3,561    | 74%   
|Operating Revenues                     | $688,006 | $438,011 | 57%   
|Operating Expenses                     | $498,868 | $331,152 | 51%   
|Operating Income                       | $189,138 | $106,859 | 77%   

The $250 million increase in operating revenues is primarily due to the addition of CMP's delivery revenues, higher retail deliveries because of colder weather this quarter and higher transmission revenues.
Those increases were partially offset by lower wholesale deliveries and lower retail electricity prices.

Operating expenses increased $168 million primarily due to the addition of CMP's purchases for retail deliveries and its operating costs. That increase was partially offset by lower purchased power costs, primarily due to lower wholesale deliveries
and ancillary services costs, and cost control efforts.

Operating Results for the Natural Gas Delivery Business

|Three months ended March 31(Thousands) | 2001     | 2000     | Change
|-------------------------------------- | -------- | -------- | ------
|Retail Deliveries - Dekatherms         | 55,496   | 34,493   | 61%   
|Operating Revenues                     | $513,213 | $211,302 | 143%  
|Operating Expenses                     | $430,860 | $146,907 | 193%  
|Operating Income                       | $82,353  | $64,395  | 28%   

The $302 million increase in operating revenues is primarily due to the addition of delivery revenues from CNG, SCG and Berkshire Gas and the recovery of increased natural gas costs caused by higher market prices.

Operating expenses increased $284 million primarily due to the additional natural gas purchases and operating costs associated with the three merged gas companies, and an increase in retail purchased gas costs caused by higher market prices.





Item 1.  Financial Statements(CMP is a wholly-owned subsidiary of CMP Group, Inc. Effective September 1, 2000, CMP Group became a wholly-owned subsidiary of Energy East Corporation.)

Central Maine Power Company
Consolidated Statements of Income - (Unaudited)

|Three Months Ended March 31                       | 2001        | Predecessor
2000
|------------------------------------------------- | ----------- | ----------------
|                                                  | (Thousands)
|Operating Revenues                                |             |                 
|Sales and services                                | $230,161    | $263,341        
|Operating Expenses                                |             |                 
|Electricity purchased and fuel used in generation | 118,302     | 139,084         
|Other operating expenses                          | 42,178      | 46,755          
|Maintenance                                       | 11,515      | 6,476           
|Depreciation and amortization                     | 9,145       | 10,398          
|Other taxes                                       | 5,066       | 4,899           
|Total Operating Expenses                          | 186,206     | 207,612         
|Operating Income                                  | 43,955      | 55,729          
|Other (Income) and Deductions                     | (278)       | (9,240)         
|Interest Charges, Net                             | 6,500       | 22,552          
|Recovery of Non-Provided Deferred Income Taxes    | -           | (75,421)        
|Income Before Income Taxes                        | 37,733      | 117,838         
|Income Taxes                                      | 15,487      | 84,070          
|Net Income                                        | 22,246      | 33,768          
|Preferred Stock Dividends                         | 361         | 559             
|Earnings Available for Common Stock               | $21,885     | $33,209         

The notes on pages 24 through 27 are an integral part of the financial statements.





Item 1.  Financial Statements (Cont'd)

Central Maine Power Company
Consolidated Balance Sheets - (Unaudited)

|                                              | March 31,
2001 | Dec. 31,
2000
|--------------------------------------------- | -------------- | -------------
|Assets                                        | (Thousands)   
|Current Assets                                |                |              
|Cash and cash equivalents                     | $24,229        | $17,933      
|Accounts receivable, net                      | 123,912        | 135,707      
|Materials and supplies, at average cost       | 9,067          | 9,052        
|Accumulated deferred income tax benefits, net | 2,758          | 4,533        
|Prepayments                                   | 4,477          | 9,574        
|Other                                         | 36             | 38           
|Total Current Assets                          | 164,479        | 176,837      
|Utility Plant, at Original Cost               |                |              
|Electric                                      | 1,292,920      | 1,392,693    
|Less accumulated depreciation                 | 471,352        | 571,275      
|Net Utility Plant in Service                  | 821,568        | 821,418      
|Construction work in progress                 | 18,452         | 16,682       
|Total Utility Plant                           | 840,020        | 838,100      
|Other Property                                | 6,586          | 6,526        
|Investment in Associated Companies, at Equity | 33,641         | 33,952       
|Regulatory and Other Assets                   |                |              
|Regulatory assets                             |                |              
|Nuclear plant obligations                     | 236,089        | 234,929      
|Unfunded future income taxes                  | 82,460         | 80,999       
|Unamortized loss on debt reacquisitions       | 11,681         | 12,057       
|Demand-side management program costs          | 18,936         | 20,563       
|Environmental remediation costs               | 7,624          | 8,217        
|Other                                         | 109,424        | 118,480      
|Total regulatory assets                       | 466,214        | 475,245      
|Other assets                                  |                |              
|Goodwill, net                                 | 339,699        | 342,306      
|Prepaid pension benefits                      | 32,270         | 32,070       
|Other                                         | 14,153         | 23,761       
|Total other assets                            | 386,122        | 398,137      
|Total Regulatory and Other Assets             | 852,336        | 873,382      
|Total Assets                                  | $1,897,062     | $1,928,797   

The notes on pages 24 through 27 are an integral part of the financial statements.





Item 1.

Central Maine Power Company
Consolidated Balance Sheets - (Unaudited)

|                                                        | March 31,
2001 | Dec. 31,
2000
|------------------------------------------------------- | -------------- | -------------
|Liabilities                                             | (Thousands)   
|Current Liabilities                                     |                |              
|Current portion of long-term debt                       | $22,260        | $12,946      
|Notes payable                                           | 35,000         | 46,500       
|Accounts payable and accrued liabilities                | 72,135         | 77,075       
|Interest accrued                                        | 2,262          | 5,084        
|Taxes accrued                                           | 4,607          | -            
|Other                                                   | 38,993         | 57,423       
|Total Current Liabilities                               | 175,257        | 199,028      
|Regulatory and Other Liabilities Regulatory liabilities |                |              
|Deferred income taxes                                   | 29,007         | 28,812       
|Deferred income taxes, unfunded future income taxes     | 33,647         | 33,051       
|Gain on sale of generation assets                       | 226,522        | 232,041      
|Pension benefits                                        | 46,728         | 47,632       
|Other                                                   | 33,114         | 37,796       
|Total regulatory liabilities                            | 369,018        | 379,332      
|Other liabilities                                       |                |              
|Deferred income taxes                                   | 20,786         | 20,065       
|Nuclear plant obligations                               | 236,089        | 234,929      
|Other postretirement benefits                           | 61,947         | 69,808       
|Environmental remediation costs                         | 4,087          | 4,147        
|Other                                                   | 94,489         | 99,710       
|Total other liabilities                                 | 417,398        | 428,659      
|Total Regulatory and Other Liabilities                  | 786,416        | 807,991      
|Long-term debt                                          | 237,268        | 222,309      
|Total Liabilities                                       | 1,198,941      | 1,229,328    
|Commitments                                             | -              | -            
|Preferred Stock 
 Preferred stock                       | 35,571         | 35,571       
|Capital in excess of par value                          | (3,457)        | (3,503)      
|Common Stock Equity
 Common stock                       | 162,213        | 162,213      
|Capital in excess of par value                          | 500,443        | 500,897      
|Retained earnings                                       | 22,076         | 23,291       
|Accumulated other comprehensive income                  | 275            | -            
|Treasury stock, at cost                                 | (19,000)       | (19,000)     
|Total Common Stock Equity                               | 666,007        | 667,401      
|Total Liabilities and Stockholder's Equity              | $1,897,062     | $1,928,797   

The notes on pages 24 through 27 are an integral part of the financial statements.





Item 1.

Central Maine Power Company
Consolidated Statements of Cash Flows - (Unaudited)

|Three Months Ended March 31                                                        | 2001        | Predecessor
2000
|---------------------------------------------------------------------------------- | ----------- | ----------------
|                                                                                   | (Thousands)
|Operating Activities                                                               |             |                 
|Net income                                                                         | $22,246     | $33,768         
|Adjustments to reconcile net income to net
  cash provided by operating activities |             |                 
|Depreciation and amortization                                                      | 9,145       | 10,398          
|Income taxes and investment tax credits deferred, net                              | 2,459       | (12,979)        
|Pension income                                                                     | (200)       | -               
|Power supply costs recovered with asset sale                                       | -           | (9,612)         
|Changes in current operating assets and liabilities                                |             |                 
|Accounts receivable                                                                | 11,795      | 27,331          
|Inventory                                                                          | (15)        | 800             
|Prepayments                                                                        | 5,057       | 426             
|Accounts payable and accrued liabilities                                           | (4,940)     | (37,598)        
|Interest accrued                                                                   | (2,822)     | (673)           
|Taxes accrued                                                                      | 4,607       | 10,600          
|Other current liabilities                                                          | (18,430)    | 7,909           
|Changes in deferred balances and related carrying costs                            | (206)       | 12,660          
|Other, net                                                                         | 1,382       | 12,562          
|Net Cash Provided by Operating Activities                                          | 30,078      | 55,592          
|Investing Activities                                                               |             |                 
|Utility plant additions                                                            | (13,087)    | (20,655)        
|Contributions in aid of construction, net                                          | -           | 16,940          
|Other property and investments, net                                                | 7           | -               
|Net Cash Used in Investing Activities                                              | (13,080)    | (3,715)         
|Financing Activities                                                               |             |                 
|Long-term note issuances                                                           | 25,000      | -               
|Long-term note retirements                                                         | (741)       | (30,734)        
|Notes payable, net                                                                 | (11,500)    | -               
|Dividends on common and preferred stock                                            | (23,461)    | (11,795)        
|Net Cash Used in Financing Activities                                              | (10,702)    | (42,529)        
|Net Increase in Cash and Cash Equivalents                                          | 6,296       | 9,348           
|Cash and Cash Equivalents, Beginning of Period                                     | 17,933      | 112,873         
|Cash and Cash Equivalents, End of Period                                           | $24,229     | $122,221        
|Supplemental Disclosure of Cash Flows Information                                  |             |                 
|Cash paid during the period:                                                       |             |                 
|Interest, net of amounts capitalized                                               | $8,477      | $4,452          
|Income taxes                                                                       | $5,886      | $10,027         

The notes on pages 24 through 27 are an integral part of the financial statements.





Item 1.

Central Maine Power Company
Consolidated Statements of Retained Earnings - (Unaudited)

|Three Months Ended March 31              | 2001        | Predecessor
2000
|---------------------------------------- | ----------- | ----------------
|                                         | (Thousands)
|Balance, beginning of period             | $23,291     | $100,754        
|Add net income                           | 22,246      | 33,768          
|                                         | 45,537      | 134,522         
|Deduct dividends on capital stock        |             |                 
|Preferred                                | 361         | 559             
|Common                                   | 23,100      | 11,236          
|Amortization of reacquired capital stock | -           | 68              
|                                         | 23,461      | 11,863          
|Balance, end of period                   | $22,076     | $122,659        

The notes on pages 24 through 27 are an integral part of the financial statements.



Central Maine Power Company
Consolidated Statements of Comprehensive Income - (Unaudited)

|Three Months Ended March 31            | 2001        | Predecessor
2000
|-------------------------------------- | ----------- | ----------------
|                                       | (Thousands)
|Net income                             | $22,246     | $33,768         
|Other comprehensive income, net of tax |             |                 
|Net unrealized gain on investments     | 275         | -               
|Total other comprehensive income       | 275         | -               
|Comprehensive income                   | $22,521     | $33,768         

The notes on pages 24 through 27 are an integral part of the financial statements.





Item 2.

Central Maine Power Company

(a) Liquidity and Capital Resources

Electric Delivery BusinessSale of Millstone Unit No. 3: See Energy East Corporation's Item 2(a), Electric Delivery Business, for the discussion of this item.

MPUC Delivery Price Decision: See Energy East Corporation's Item 2(a), Electric Delivery Business, for the discussion of this item.

Investing and Financing ActivitiesInvesting Activities: Capital spending for the first three months of 2001 was $13 million, including nuclear fuel. For 2001 capital spending is projected to be $45 million, including nuclear fuel, and is expected to be paid for with
internally generated funds. Capital spending will be primarily for the extension of electric delivery service, necessary improvements to existing facilities and compliance with environmental requirements.

Financing Activities: CMP issued on January 30, 2001, $25 million of 6.67% Series E Medium Term Notes due January 2006.



(b) Results of Operations

|Three months ended March 31(Thousands) | 2001     | Predecessor2000 | Change
|-------------------------------------- | -------- | --------------- | ------
|Retail Deliveries - Megawatt-hours     | 2,418    | 2,352           | 3%    
|Operating Revenues                     | $230,161 | $263,341        | (13%) 
|Operating Expenses                     | $186,206 | $207,612        | (10%) 
|Operating Income                       | $43,955  | $55,729         | (21%) 
|Earnings Available for Common Stock    | $21,885  | $33,209         | (34%) 

Earnings for the quarter decreased $11 million primarily due to the deregulation of Maine's electric industry and its associated effects on operating revenues and expenses, as discussed below. CMP no longer supplies electricity unless directed by
the MPUC to be the standard offer provider. CMP is currently the standard offer provider for commercial and industrial rate classes.

The $33 million decrease in operating revenues is primarily the result of CMP no longer collecting revenue for the supply of electricity unless directed to by the MPUC, and a rate reduction that began March 1, 2000. Those decreases were partially
offset by higher transmission revenues and asset sale gain amortization.

Operating expenses decreased $21 million primarily due to decreased purchased power expenses because CMP no longer supplies electricity unless directed to by the MPUC.



Item 1.

New York State Electric & Gas Corporation
Statements of Income - (Unaudited)

|Three Months Ended March 31                       | 2001        | 2000    
|------------------------------------------------- | ----------- | --------
|                                                  | (Thousands)
|Operating Revenues                                |             |         
|Electric                                          | $457,761    | $438,011
|Natural Gas                                       | 167,700     | 137,753 
|Total Operating Revenues                          | 625,461     | 575,764 
|Operating Expenses                                |             |         
|Electricity purchased and fuel used in generation | 201,520     | 215,116 
|Natural gas purchased                             | 122,610     | 68,553  
|Other operating expenses                          | 54,914      | 58,752  
|Maintenance                                       | 21,062      | 20,237  
|Depreciation and amortization                     | 25,337      | 27,491  
|Other taxes                                       | 34,869      | 36,092  
|Total Operating Expenses                          | 460,312     | 426,241 
|Operating Income                                  | 165,149     | 149,523 
|Interest Charges, Net                             | 26,653      | 25,426  
|Other (Income) and Deductions                     | 2,385       | (821)   
|Income Before Income Taxes                        | 136,111     | 124,918 
|Income Taxes                                      | 56,513      | 41,454  
|Net Income                                        | 79,598      | 83,464  
|Preferred Stock Dividends                         | 99          | 99      
|Earnings Available for Common Stock               | $79,499     | $83,365 

The notes on pages 24 through 27 are an integral part of the financial statements.





Item 1.

New York State Electric & Gas Corporation
Balance Sheets - (Unaudited)

|                                              | March 31,
2001 | Dec. 31,
2000
|--------------------------------------------- | -------------- | -------------
|Assets                                        | (Thousands)   
|Current Assets                                |                |              
|Cash and cash equivalents                     | $15,621        | $17,618      
|Special deposits                              | 21,440         | 21,440       
|Accounts receivable, net                      | 199,286        | 200,846      
|Fuel, at average cost                         | 2,767          | 28,677       
|Materials and supplies, at average cost       | 7,626          | 7,395        
|Prepayments                                   | 39,970         | 27,893       
|Accumulated deferred income tax benefits, net | 3,916          | 3,943        
|Total Current Assets                          | 290,626        | 307,812      
|Utility Plant, at Original Cost               |                |              
|Electric                                      | 3,391,878      | 3,391,619    
|Natural gas                                   | 649,994        | 647,145      
|Common                                        | 133,269        | 140,020      
|                                              | 4,175,141      | 4,178,784    
|Less accumulated depreciation                 | 2,120,066      | 2,116,787    
|Net Utility Plant in Service                  | 2,055,075      | 2,061,997    
|Construction work in progress                 | 12,308         | 25,006       
|Total Utility Plant                           | 2,067,383      | 2,087,003    
|Other Property and Investments, Net           | 78,612         | 76,737       
|Regulatory and Other Assets                   |                |              
|Regulatory assets                             |                |              
|Unfunded future income taxes                  | 44,940         | 44,610       
|Unamortized loss on debt reacquisitions       | 45,833         | 46,791       
|Demand-side management program costs          | 22,296         | 28,366       
|Environmental remediation costs               | 58,000         | 58,200       
|Other                                         | 33,931         | 30,386       
|Total regulatory assets                       | 205,000        | 208,353      
|Other assets                                  |                |              
|Prepaid pension benefits                      | 271,902        | 250,826      
|Derivative assets                             | 52,651         | -            
|Other                                         | 22,470         | 22,254       
|Total other assets                            | 347,023        | 273,080      
|Total Regulatory and Other Assets             | 552,023        | 481,433      
|Total Assets                                  | $2,988,644     | $2,952,985   

The notes on pages 24 through 27 are an integral part of the financial statements.





Item 1.

New York State Electric & Gas Corporation
Balance Sheets - (Unaudited)

|                                                                      | March 31,
2001 | Dec. 31,
2000
|--------------------------------------------------------------------- | -------------- | -------------
|Liabilities                                                           | (Thousands)   
|Current Liabilities                                                   |                |              
|Current portion of long-term debt                                     | $822           | $1,088       
|Notes payable                                                         | 84,000         | 123,000      
|Accounts payable and accrued liabilities                              | 111,988        | 160,654      
|Interest accrued                                                      | 26,856         | 15,925       
|Taxes accrued                                                         | 49,810         | 9,006        
|Other                                                                 | 49,514         | 71,510       
|Total Current Liabilities                                             | 322,990        | 381,183      
|Regulatory and Other Liabilities Regulatory liabilities               |                |              
|Deferred income taxes                                                 | 49,137         | 50,306       
|Deferred income taxes, unfunded future income taxes                   | 18,848         | 18,848       
|Other                                                                 | 19,668         | 16,975       
|Total regulatory liabilities                                          | 87,653         | 86,129       
|Other liabilities                                                     |                |              
|Deferred income taxes                                                 | 315,718        | 287,560      
|Other postretirement benefits                                         | 187,274        | 183,666      
|Environmental remediation costs                                       | 77,300         | 77,500       
|Other                                                                 | 90,252         | 100,148      
|Total other liabilities                                               | 670,544        | 648,874      
|Total Regulatory and Other Liabilities                                | 758,197        | 735,003      
|Long-term debt                                                        | 1,189,369      | 1,189,249    
|Total Liabilities                                                     | 2,270,556      | 2,305,435    
|Commitments                                                           | -              | -            
|Preferred Stock 
 Preferred stock redeemable solely at NYSEG's option | 10,159         | 10,159       
|Common Stock Equity
 Common stock                                     | 430,057        | 430,057      
|Capital in excess of par value                                        | 170,678        | 170,678      
|Retained earnings                                                     | 74,285         | 35,329       
|Accumulated other comprehensive income                                | 32,909         | 1,327        
|Total Common Stock Equity                                             | 707,929        | 637,391      
|Total Liabilities and Stockholder's Equity                            | $2,988,644     | $2,952,985   

The notes on pages 24 through 27 are an integral part of the financial statements.





Item 1.

New York State Electric & Gas Corporation
Statements of Cash Flows - (Unaudited)

|Three Months Ended March 31                                                        | 2001            | 2000           
|---------------------------------------------------------------------------------- | --------------- | ---------------
|Operating Activities                                                               | (Thousands)    
|Net income                                                                         | $79,598         | $83,464        
|Adjustments to reconcile net income to net
  cash provided by operating activities |                 |                
|Depreciation and amortization                                                      | 25,337          | 27,491         
|Income taxes and investment tax credits deferred, net                              | 5,205           | (3,687)        
|Pension income                                                                     | (18,041)        | (16,320)       
|Changes in current operating assets and liabilities                                |                 |                
|Accounts receivable                                                                | 1,560           | 10,128         
|Inventory                                                                          | 25,679          | 10,690         
|Prepayments                                                                        | (12,077)        | (12,394)       
|Accounts payable and accrued liabilities                                           | (48,666)        | (24,142)       
|Interest accrued                                                                   | 10,931          | 10,595         
|Taxes accrued                                                                      | 40,804          | 54,875         
|Other current liabilities                                                          | (21,996)        | (17,325)       
|Other, net                                                                         | (120)           | 4,890          
|Net Cash Provided by Operating Activities                                          | 88,214          | 128,265        
|Investing Activities                                                               |                 |                
|Utility plant additions                                                            | (11,786)        | (12,431)       
|Other property and investments                                                     | 721             | (829)          
|Other                                                                              | 496             | (7,343)        
|Net Cash Used in Investing Activities                                              | (10,569)        | (20,603)       
|Financing Activities                                                               |                 |                
|Notes payable, net                                                                 | (39,000)        | (163,240)      
|Dividends on common and preferred stock                                            | (40,642)        | (38,237)       
|Net Cash Used in Financing Activities                                              | (79,642)        | (201,477)      
|Net Decrease in Cash and Cash Equivalents                                          | (1,997)         | (93,815)       
|Cash and Cash Equivalents, Beginning of Period                                     | 17,618          | 114,494        
|Cash and Cash Equivalents, End of Period                                           | $15,621         | $20,679        
|Supplemental Disclosure of Cash Flows Information                                  |                 |                
|Cash paid during the period:
  Interest, net of amounts capitalized
  Income taxes | $14,624 
$6,664 | $13,698 
$5,661

The notes on pages 24 through 27 are an integral part of the financial statements.





Item 1.

New York State Electric & Gas Corporation
Statements of Retained Earnings - (Unaudited)

|Three Months Ended March 31       | 2001        | 2000   
|--------------------------------- | ----------- | -------
|                                  | (Thousands)
|Balance, Beginning of Period      | $35,329     | $26,731
|Add net income                    | 79,598      | 83,464 
|                                  | 114,927     | 110,195
|Deduct Dividends on Capital Stock |             |        
|Preferred                         | 99          | 99     
|Common                            | 40,543      | 38,138 
|                                  | 40,642      | 38,237 
|Balance, End of Period            | $74,285     | $71,958

The notes on pages 24 through 27 are an integral part of the financial statements.



New York State Electric & Gas Corporation
Statements of Comprehensive Income - (Unaudited)

|Three Months Ended March 31                                                                                                                            | 2001        | 2000   
|------------------------------------------------------------------------------------------------------------------------------------------------------ | ----------- | -------
|                                                                                                                                                       | (Thousands)
|Net income                                                                                                                                             | $79,598     | $83,464
|Other comprehensive income, net of tax                                                                                                                 |             |        
|Net unrealized gain on investments                                                                                                                     | 79          | 138    
|Minimum pension liability adjustment                                                                                                                   | -           | (1,351)
|Unrealized gains on derivatives qualified as hedges                                                                                                    |             |        
|Unrealized gains on derivatives qualified as hedges
      arising during the period due to cumulative effect of a
      change in accounting principle | 54,602      | -      
|Unrealized losses on derivatives qualified as hedges                                                                                                   | (13,261)    | -      
|Reclassification adjustment for gains included in net income                                                                                           | (9,838)     | -      
|Net unrealized gains on derivatives qualified as hedges                                                                                                | 31,503      | -      
|Total other comprehensive income (loss)                                                                                                                | 31,582      | (1,213)
|Comprehensive Income                                                                                                                                   | $111,180    | $82,251

The notes on pages 24 through 27 are an integral part of the financial statements.





Item 2.

New York State Electric & Gas Corporation

(a) Liquidity and Capital Resources

Electric Delivery BusinessNYSEG's Price Protection Plan: See Energy East Corporation's Item 2(a), Electric Delivery Business, for the discussion of this item.

Retail Access Credit: See Energy East Corporation's Item 2(a), Electric Delivery Business, for the discussion of this item.

Independent System Operator: See Energy East Corporation's Item 2(a), Electric Delivery Business, for the discussion of this item.

Natural Gas Delivery BusinessNatural Gas Supply Alliance: See Energy East Corporation's Item 2(a), Natural Gas Delivery Business, for the discussion of this item.

Investing ActivitiesInvesting Activities: Capital spending for the first three months of 2001 was $11 million, including nuclear fuel. For 2001 capital spending is projected to be $77 million, including nuclear fuel, and is expected to be paid for with
internally generated funds. Capital spending will be primarily for the extension of energy delivery service, necessary improvements to existing facilities and compliance with environmental requirements.



(b) Results of Operations

|Three months ended March 31(Thousands) | 2001     | 2000     | Change
|-------------------------------------- | -------- | -------- | ------
|Operating Revenues                     | $625,461 | $575,764 | 9%    
|Operating Income                       | $165,149 | $149,523 | 10%   
|Earnings Available for Common Stock    | $79,499  | $83,365  | (5%)  

The $4 million decrease in earnings for the quarter was primarily due to higher natural gas costs caused by higher market prices, lower retail electricity prices and a non-recurring benefit in 2000 from a federal income tax audit adjustment. Those
decreases were partially offset by higher retail electricity deliveries because of colder weather this quarter, lower purchased power and ancillary services costs and higher electricity transmission revenues.



Item 2.  Management's Discussion and Analysis of Financial Condition              and Results of Operation (Cont'd)

New York State Electric & Gas Corporation

Operating Results for the Electric Delivery Business

|Three months ended March 31(Thousands) | 2001     | 2000     | Change
|-------------------------------------- | -------- | -------- | ------
|Retail Deliveries - Megawatt-hours     | 3,787    | 3,561    | 6%    
|Operating Revenues                     | $457,761 | $438,011 | 5%    
|Operating Expenses                     | $312,574 | $331,150 | (6%)  
|Operating Income                       | $145,187 | $106,861 | 36%   

The $20 million increase in operating revenues is primarily due to higher retail deliveries because of colder weather this quarter and higher transmission revenues. Those increases were partially offset by lower wholesale deliveries and lower retail
prices primarily due to higher retail access deliveries.

Operating expenses decreased $19 million for the quarter due to lower purchased power costs, primarily due to lower wholesale deliveries and ancillary services costs, and cost control efforts.

Operating Results for the Natural Gas Delivery Business

|Three months ended March 31(Thousands) | 2001     | 2000     | Change
|-------------------------------------- | -------- | -------- | ------
|Retail Deliveries - Dekatherms         | 23,964   | 24,248   | (1%)  
|Operating Revenues                     | $167,700 | $137,753 | 22%   
|Operating Expenses                     | $147,738 | $95,091  | 55%   
|Operating Income                       | $19,962  | $42,662  | (53%) 

The $30 million increase in operating revenues is primarily due to the recovery of increased natural gas costs for non-residential deliveries.

Operating expenses increased $53 million primarily due to an increase in retail purchased gas costs caused by higher market prices.



Item 1.

Notes to Financial Statements
for
Energy East Corporation
Central Maine Power Company
New York State Electric & Gas Corporation

Notes to Financial Statements of Registrants:

|Registrant  | Applicable Notes
|----------- | ----------------
|Energy East | 1, 2, 3, 4, 5   
|CMP         | 1, 2, 3, 4      
|NYSEG       | 1, 3, 4, 5      



Note 1. Unaudited Financial Statements

The accompanying unaudited financial statements reflect all adjustments which are necessary, in the opinion of the management of the registrants, for a fair presentation of the interim results. All such adjustments are of a normal, recurring nature.

Energy East's financial statements and CMP's financial statements consolidate their majority-owned subsidiaries after eliminating all intercompany transactions.

The accompanying unaudited financial statements for each registrant should be read in conjunction with the financial statements and notes contained in the report on Form 10-K filed by each registrant for the year ended December 31, 2000. Due to the
seasonal nature of the registrants' operations, financial results for interim periods are not necessarily indicative of trends for a 12-month period.



Note 2. Acquisitions of Connecticut Energy, CMP Group, CTG Resources and Berkshire Energy

Due to completion of the company's merger with CNE on February 8, 2000, and its mergers with CMP Group, CTG Resources and Berkshire Energy on September 1, 2000, the company's consolidated financial statements include CNE's results beginning with
February 2000 and include CMP Group's, CTG Resources' and Berkshire Energy's results beginning with September 2000.

Amounts presented in the consolidated financial statements for CMP for the three months ended March 31, 2000, reflect the historical predecessor amounts reported by CMP prior to its acquisition by Energy East. Amounts reported for the three months
ended March 31, 2001, include the amortization of goodwill related to the acquisition of CMP by Energy East.

The four merger transactions were accounted for using the purchase method. In each transaction the purchase price was allocated to the assets acquired and liabilities assumed based on values on the date of purchase. The cost in excess of the fair
value of the net assets acquired in each transaction was recorded as goodwill and will be amortized on a straight-line basis over the estimated useful life. The useful life is determined based on the individual characteristics of each acquired company and
the lives range from four to 40 years. Goodwill may be adjusted over the 12 months following the mergers as actual amounts for estimated liabilities become known.

The following pro forma information for the company for the three months ended March 31, 2000, which is based on unaudited data, gives effect to the company's four mergers as if they had been completed January 1, 2000. This information does not
reflect future revenues or cost savings that may result from the mergers and is not indicative of actual results of operations had the mergers occurred at the beginning of the period presented or of results that may occur in the future.

|Three Months Ended March 31           | 2000      
|------------------------------------- | ----------
|(Thousands, except per share amounts) |           
|Revenues                              | $1,148,971
|Net income                            | $120,730  
|Earnings per share of common stock    | $.97      

Pro forma adjustments reflected in the amounts presented above include: (1) adjusting the four merged companies' non-utility assets to fair value based on an independent appraisal, (2) amortization of goodwill, (3) elimination of merger costs,
(4) adjustments for estimated tax effects of the above adjustments, (5) lower investment income due to the sale of temporary investments to complete the mergers and (6) interest expense due to the issuance of merger-related debt.



Note 3. Segment Information

Energy East's electric delivery business consists of its regulated transmission, distribution and generation operations in New York and Maine; and its natural gas delivery business consists of its regulated transportation, storage and distribution
operations in New York, Connecticut, Maine and Massachusetts. Other includes: the company's corporate assets, interest costs and operating expenses; intersegment eliminations; and non-utility businesses.

CMP's electric delivery business consists of its transmission and distribution operations. CMP operates in the State of Maine. Other includes CMP's corporate assets.

NYSEG's electric delivery business consists of its transmission, distribution and generation operations; and its natural gas segment consists of its transportation, storage and distribution operations. NYSEG operates in the State of New York.
Other includes NYSEG's corporate assets.



Selected financial information for Energy East's, CMP's and NYSEG's business segments is presented in the following table.

|                                                                | ElectricDelivery                 | Natural GasDelivery         | Other                    | Total                           
|--------------------------------------------------------------- | -------------------------------- | --------------------------- | ------------------------ | --------------------------------
|                                                                |                                  | (Thousands)                 |                         
|Three Months Ended                                              |                                  |                             |                          |                                 
|March 31, 2001                                                  |                                  |                             |                          |                                 
|Operating Revenues
   Energy East
   CMP
   NYSEG               | $688,006
$230,161
$457,761       | $513,213
-      
$167,700   | $69,920 
-      
-       | $1,271,139
$230,161
$625,461    
|Net Income
   Energy East
   CMP
   NYSEG                       | $86,343
$22,246
$70,464          | $35,275
-      
$9,134      | ($6,017)
-      
-       | $115,601
$22,246
$79,598        
|March 31, 2000                                                  |                                  |                             |                          |                                 
|Operating Revenues
   Energy East
   CMP (Predecessor)
   NYSEG | $438,011
$263,341
$438,011       | $211,302
-      
$137,753   | $35,113
-      
-        | $684,426
$263,341
$575,764      
|Net Income
   Energy East
   CMP (Predecessor)
   NYSEG         | $58,904
$33,768
$58,985          | $31,853
-      
$24,479     | $2,570
-      
-         | $93,327
$33,768
$83,464         
|Total Assets                                                    |                                  |                             |                          |                                 
|March 31, 2001
   Energy East
   CMP
   NYSEG                   | $4,216,047
$1,892,600
$2,151,148 | $2,443,934
-      
$644,333 | $399,138
$4,462
$193,163 | $7,059,119
$1,897,062
$2,988,644
|December 31, 2000
   Energy East
   CMP
   NYSEG                | $4,212,623
$1,924,357
$2,116,933 | $2,406,848
-      
$639,684 | $394,257
$4,440
$196,368 | $7,013,728
$1,928,797
$2,952,985



Note 4. Reclassifications

Certain amounts have been reclassified on the unaudited financial statements to conform with the 2001 presentation.





Note 5. Statement 133

The Financial Accounting Standards Board (FASB) issued Statement of Financial Accounting Standards No. 133, Accounting for Derivative Instruments and Hedging Activities, in June 1998, which was amended in later FASB pronouncements. Statement 133
establishes standards for the accounting and reporting for derivative instruments and for hedging activities. Statement 133 requires that all derivatives be recognized as either assets or liabilities on a company's balance sheet at their fair value. The
company adopted Statement 133 as of January 1, 2001.

Substantially all of the company's derivative instruments receive hedge accounting treatment under Statement 133. The transition adjustment for the company's derivative instruments, as of January 1, 2001, affected both
Other Comprehensive Income and Net Income. The amount of the transition adjustment recorded in Other Comprehensive Income was a gain of approximately $58 million for the company, which included a gain of approximately $55 million for NYSEG. The amount of
the transition adjustment recorded in Net Income was a gain of less than $1 million for the company due to NYSEG.



Forward-looking StatementsThis Form 10-Q contains certain forward-looking statements that are based upon management's current expectations and information that is currently available. The Private Securities Litigation Reform Act of 1995 provides a safe harbor for
forward-looking statements in certain circumstances. Whenever used in this report, the words "estimate," "expect," "believe," or similar expressions are intended to identify such forward-looking statements.

In addition to the assumptions and other factors referred to specifically in connection with such statements, factors that could cause actual results to differ materially from those contemplated in any forward-looking statements include, among others:
the deregulation and continued regulatory unbundling of a vertically integrated industry; the companies' ability to compete in the rapidly changing and increasingly competitive electricity and natural gas utility markets; regulatory uncertainty in a
politically-charged environment of rising energy prices; the operation of the New York Independent System Operator (NYISO) and ISO New England, Inc.; the ability to control non-utility generator and other costs; changes in fuel supply or cost and the
success of strategies to satisfy power requirements now that all of the company's coal-fired generation assets have been sold; the company's ability to expand its products and services, including its energy infrastructure in the Northeast; the company's
ability to integrate the operations of CNE, CMP Group, CTG Resources, Berkshire Energy and RGS Energy with its operations; market risk; the ability to obtain adequate and timely rate relief; nuclear or environmental incidents; legal or administrative
proceedings; changes in the cost or availability of capital; growth in the areas in which the companies are doing business; weather variations affecting customer energy usage; and other considerations that may be disclosed from time to time in the
companies publicly disseminated documents and filings. The companies undertake no obligation to publicly update any forward-looking statements, whether as a result of new information, future events or otherwise.





Item 3.  Quantitative and Qualitative Disclosures About Market Risk (See reports on Form 10-K for Energy East, CMP and NYSEG for fiscal year ended December 31, 2000, Item 7A- Quantitative and Qualitative Disclosures About Market Risk.)

Commodity Price Risk: NYSEG has hedged approximately 80% of its expected residential natural gas load for the remainder of 2001 through futures and option contracts. For its remaining unhedged positions in 2001, a $1.00 per dekatherm change
in the cost of natural gas changes natural gas costs by $2 million.

NYSEG uses electricity contracts and contracts for differences (CFDs) to manage against fluctuations in the cost of electricity. Those contracts allow NYSEG to fix margins on the majority of its retail electricity sales. The cost or benefit of those
contracts is included in the amount expensed for electricity purchased when the electricity is sold. NYSEG has CFDs, generation and other electricity contracts, which provide for all of its total expected demand for the remainder of 2001, 89% for 2002 and
67% for 2003.

NYSEG is also exposed to daily price fluctuations in the spot price of electricity. In situations where the electricity contracts do not cover peak demand, NYSEG must buy electricity in the spot market. Conversely, when NYSEG has contracts for more
electricity than its demand, it must sell the excess in the spot market. NYSEG uses a cash flow at risk (CFAR) calculation to measure this price risk. At May 1, 2001, the CFAR for electricity requirements was approximately $6 million for the next 12-month
period. The CFAR indicates the amount by which the fair value of NYSEG's net position could vary from its current level over a 12-month period, with a 97.5% certainty, assuming all unhedged positions during that period are filled in the spot market.



PART II - OTHER INFORMATION

Item 1.  Legal Proceedings

NYSEG received a letter in October 1999 from the New York State Attorney General's office alleging that NYSEG may have constructed and operated major modifications to certain emission sources at the Goudey and Greenidge generating stations,
which it formerly owned, without obtaining the required prevention of significant deterioration or new source review permits. The Goudey and Greenidge plants were sold to The AES Corporation in May 1999. The letter requested that NYSEG and AES provide the
Attorney General's office with a large number of documents relating to this allegation. In January 2000 NYSEG received a subpoena from the New York State Department of Environmental Conservation (NYSDEC) ordering production of similar documents. The
NYSDEC subsequently requested similar documents with respect to the Hickling and Jennison generating stations, which the company formerly owned. Those stations were also sold to AES in May 1999.

In April 2000 NYSEG received a letter from the U.S. Environmental Protection Agency (EPA) requesting information with respect to the operation of the Milliken and Kintigh generating stations, which the company formerly owned. Those stations
were also sold to AES in May 1999. NYSEG furnished documents pursuant to the Attorney General's, NYSDEC's and EPA's requests.

In May 2000 NYSEG received a notice of violation from the NYSDEC alleging that two projects at Goudey and four projects at Greenidge were constructed without the necessary permits having been obtained.

On April 18, 2001, EPA notified NYSEG by telephone that EPA would be issuing notices of violation alleging that various projects at the Milliken and Kintigh generating stations were constructed without the necessary permits having been obtained.

NYSEG believes it has complied with the applicable rules and regulations and there is no basisfor the Attorney General's, NYSDEC's and EPA's allegations. NYSEG believes that any liability related to this matter will be the responsibility of AES in
accordance with the asset purchase agreement.



Item 6.  Exhibits and Reports on Form 8-K

(a)  Exhibits - See Exhibit Index.

(b)  The following reports on Form 8-K were filed during the quarter:

Energy East filed a report on Form 8-K, dated February 16, 2001, to report certain information under Item 5, "Other Events" and Item 7, "Financial Statements, Pro Forma Financial Information and Exhibits."







Signatures

Pursuant to the requirements of the Securities Exchange Act of 1934, each registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.





|                    | ENERGY EAST CORPORATION
                  (Registrant)                                                                      
|------------------- | ----------------------------------------------------------------------------------------------------------------------------
|Date:  May 10, 2001 | By /s/Robert E. Rude           Robert E. Rude
           Vice President and Controller
           (Chief Accounting Officer)





|                    | CENTRAL MAINE POWER COMPANY
                  (Registrant)                                              
|------------------- | --------------------------------------------------------------------------------------------------------
|Date:  May 10, 2001 | By /s/Curtis I. Call           Curtis I. Call
           Treasurer
           (Chief Accounting Officer)





|                    | NEW YORK STATE ELECTRIC & GAS CORPORATION
                  (Registrant)                                                                                                   
|------------------- | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|Date:  May 10, 2001 | By /s/Sherwood J. Rafferty           Sherwood J. Rafferty
           Senior Vice President and 
           Chief Financial Officer
           (Principal Financial Officer)





EXHIBIT INDEX

The following exhibit is delivered with this report:

|Registrant              | Exhibit No. | Description of Exhibit                           
|----------------------- | ----------- | -------------------------------------------------
|Energy East Corporation | 3-4 -       | By-Laws of the Company as amended April 12, 2001.