----

----

| x | ANNUAL      REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT      OF 1934 |
|---|-----------------------------------------------------------------------------------------------------|

| o | TRANSITION      REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT      OF 1934 |
|---|---------------------------------------------------------------------------------------------------------|

| CommissionFile      Number |   | Registrant,      State of IncorporationAddress      and Telephone Number                                                                                             |   | IRS      EmployerIdentification      No. |
|----------------------------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|------------------------------------------|
|                       |   |                                                                                                                                                                      |   |                                     |
| 0-30512                    |   | CH      Energy Group, Inc.(Incorporated      in New York)284      South AvenuePoughkeepsie,      New York 12601-4839(845)      452-2000                              |   | 14-1804460                               |
|                       |   |                                                                                                                                                                 |   |                                     |
|                       |   |                                                                                                                                                                      |   |                                     |
| 1-3268                     |   | Central      Hudson Gas & Electric Corporation(Incorporated      in New York)284      South AvenuePoughkeepsie,      New York 12601-4839(845)      452-2000 |   | 14-0555980                               |

----

----

----

| Title      of each class                                     |   | Name      of each exchangeon      which registered |
|--------------------------------------------------------------|--------|----------------------------------------------------|
|                                                         |   |                                               |
| CH      Energy Group, Inc.Common      Stock, $0.10 par value |   | New      York Stock Exchange                       |

| Title      of each class                                                                                                        |   |
|---------------------------------------------------------------------------------------------------------------------------------|--------|
|                                                                                                                            |   |
| Central      Hudson Gas & Electric Corporation Cumulative Preferred      Stock 4.50%      Series4.75%      Series |

| Yes  x |   | No  o |
|------------------|--------|-----------------|

| Yes  o |   | No  x |
|------------------|--------|-----------------|

| Yes  o |   | No  x |
|------------------|--------|-----------------|

| Yes  o |   | No  x |
|------------------|--------|-----------------|

| Yes  x |   | No  o |
|------------------|--------|-----------------|

----

| Large Accelerated Filer      x |   | Accelerated Filer o              |
|--------------------------------|--------|----------------------------------|
| Non-Accelerated Filer      o   |   | Smaller Reporting Company      o |

| Large Accelerated Filer      o |   | Accelerated Filer o              |
|--------------------------------|--------|----------------------------------|
| Non-Accelerated Filer      x   |   | Smaller Reporting Company      o |

| Yes  o |   | No  x |
|------------------|--------|-----------------|

| Yes  o |   | No  x |
|------------------|--------|-----------------|

----

----

| CH Energy Group Companies and      Investments                    |
|-------------------------------------------------------------------|
|                                                              |   |   |
| CHEC                                                              |   | Central      Hudson Enterprises Corporation (the parent company of Griffith (not      regulated by the PSC) and wholly owned subsidiary of CH Energy      Group) |
| Cornhusker      Holdings                                          |   | Cornhusker      Energy Lexington Holdings, LLC (a CHEC investment) |
| JB      Wind                                                      |   | JB      Wind Holdings, LLC (a CH-Community Wind investee  company) |
|                                                              |   |   |
| Regulators                                                        |   |   |
|                                                              |   |   |
| NYS                                                               |   | New      York State |
| PSC                                                               |   | NYS      Public Service Commission |
| FERC                                                              |   | Federal      Energy Regulatory Commission |
| DEC                                                               |   | NYS      Department of Environmental Conservation |
|                                                              |
| Terms Related to Business Operations Used by CH      Energy Group |
|                                                              |   |   |
| 1993      PSC Policy                                              |   | PSC’s      1993 Statement of Policy regarding pension and other post-employment      benefits |
| 2006      Rate Order                                              |   | Order      Establishing Rate Plan issued by the PSC to Central Hudson on July 24,      2006 |
| 2009      Rate Order                                              |   | Order      Establishing Rate Plan issued by the PSC to Central Hudson on June 22,      2009 |
| Distributed      Generation                                       |   | An      electrical generating facility located at a customer’s point of delivery      which may be connected in parallel operation to the utility      system |
| kWh                                                               |   | Kilowatt-hour(s) |
| Mcf                                                               |   | Thousand      Cubic Feet |
| MGP                                                               |   | Manufactured      Gas Plant |
| MW      / MWh                                                     |   | Megawatt(s)      / Megawatt-hour(s) |
| OPEB                                                              |   | Other      Post-Employment Benefits |
| RDMs                                                              |   | Revenue      Decoupling Mechanisms |
| Retirement      Plan                                              |   | Central      Hudson’s Non-Contributory Defined Benefit Retirement Income      Plan |
| ROE                                                               |   | Return      on Equity |
| ROW                                                               |   | Right-of-Way |
| Settlement      Agreement                                         |   | Amended      and Restated Settlement Agreement dated January 2, 1998, and thereafter      amended, among Central Hudson, PSC Staff, and Certain Other      Parties |

----

| Other             |   |                                                                             |
|-------------------|--------|----------------------------------------------------------------------------------|
|              |   |                                                                             |
| ASC               |   | FASB      Accounting Standards Codification                                      |
| COSO              |   | Committee      of Sponsoring Organizations of the Treadway Commission            |
| EITF              |   | FASB      Emerging Issues Task Force                                             |
| Exchange      Act |   | Securities      Exchange Act of 1934                                             |
| FASB              |   | Financial      Accounting Standards Board                                        |
| GAAP              |   | Accounting      Principles Generally Accepted in the United States of    America |
| NYISO             |   | New      York Independent System Operator                                        |
| NYSERDA           |   | New      York State Energy Research and Development Authority                    |
| Registrants       |   | CH      Energy Group and Central Hudson                                          |
| SFAS              |   | Statement      of Financial AccountingStandards                                  |

----

|         |   | TABLE OF      CONTENTS                                                                                            |   |   |
|--------------|--------|-------------------------------------------------------------------------------------------------------------------|--------|--------|
|         |   |                                                                                                              |   | PAGE   |
|         |   | PART I                                                                                                            |   |   |
|         |   |                                                                                                              |   |   |
| ITEM      1  |   | BUSINESS                                                                                                          |   | 2      |
|         |   |                                                                                                              |   |   |
| ITEM      1A |   | RISK FACTORS                                                                                                      |   | 14     |
|         |   |                                                                                                              |   |   |
| ITEM      1B |   | UNRESOLVED STAFF COMMENTS                                                                                         |   | 18     |
|         |   |                                                                                                              |   |   |
| ITEM      2  |   | PROPERTIES                                                                                                        |   | 18     |
|         |   |                                                                                                              |   |   |
| ITEM      3  |   | LEGAL PROCEEDINGS                                                                                                 |   | 20     |
|         |   |                                                                                                              |   |   |
| ITEM      4  |   | SUBMISSION OF MATTERS TO A VOTE OF SECURITY      HOLDERS                                                          |   | 20     |
|         |   |                                                                                                              |   |   |
|         |   | PART II                                                                                                           |   |   |
|         |   |                                                                                                              |   |   |
| ITEM      5  |   | MARKET FOR REGISTRANT'S COMMON EQUITY, RELATED STOCKHOLDER      MATTERS AND ISSUER PURCHASES OF EQUITY SECURITIES |   | 20     |
|         |   |                                                                                                              |   |   |
| ITEM      6  |   | SELECTED FINANCIAL DATA OF CH ENERGY GROUP AND ITS      SUBSIDIARIES                                              |   | 23     |
|         |   |                                                                                                              |   |   |
| ITEM      7  |   | MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND      RESULTS OF OPERATIONS                  |   | 25     |
|         |   |                                                                                                              |   |   |
| ITEM      7A |   | QUANTITATIVE AND QUALITATIVE DISCLOSURE ABOUT MARKET      RISK                                                    |   | 103    |
|         |   |                                                                                                              |   |   |
| ITEM      8  |   | FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA                                                                       |   | 105    |
|         |   |                                                                                                              |   |   |
| ITEM      9  |   | CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON ACCOUNTING AND      FINANCIAL DISCLOSURE                         |   | 220    |
|         |   |                                                                                                              |   |   |
| ITEM      9A |   | CONTROLS AND PROCEDURES                                                                                           |   | 220    |
|         |   |                                                                                                              |   |   |
| ITEM      9B |   | OTHER INFORMATION                                                                                                 |   | 220    |

----

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|         |   | PART III                                                                                            |   |   |
|--------------|--------|-----------------------------------------------------------------------------------------------------|--------|--------|
|         |   |                                                                                                |   |   |
| ITEM      10 |   | DIRECTORS AND EXECUTIVE OFFICERS OF CH ENERGY      GROUP                                            |   | 221    |
|         |   |                                                                                                |   |   |
| ITEM      11 |   | EXECUTIVE COMPENSATION                                                                              |   | 221    |
|         |   |                                                                                                |   |   |
| ITEM      12 |   | SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT      AND RELATED STOCKHOLDER MATTERS |   | 222    |
|         |   |                                                                                                |   |   |
| ITEM      13 |   | CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS AND DIRECTOR      INDEPENDENCE                       |   | 222    |
|         |   |                                                                                                |   |   |
| ITEM      14 |   | PRINCIPAL ACCOUNTANT FEES AND SERVICES                                                              |   | 223    |
|         |   |                                                                                                |   |   |
|         |   | PART IV                                                                                             |   |   |
|         |   |                                                                                                |   |   |
| ITEM      15 |   | EXHIBITS AND FINANCIAL STATEMENT SCHEDULES                                                          |   | 224    |

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----

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| ITEM 1      - | BUSINESS |
|---------------|----------|

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| Purchased      Power and Generation Costs                                                                                                                                                   |   |
|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|
|                                                                                                                                                                                        |   |   |   |   |   |   |
| For      the year ended December 31, 2009, the sources and related costs of      purchased electricity and electric generation for Central Hudson were as      follows (In Thousands): |
|                                                                                                                                                                                        |   |   |   |   |   |   |
|  Sources      of Energy                                                                                                                                                                |   | Aggregate      Percentage of Energy Requirements |   | Costs      in 2009 |   |
| Purchased      Electricity                                                                                                                                                                  |   |   | 97.6 | % |   | $ | 268,337 |   |
| Hydroelectric      and Other                                                                                                                                                                |   |   | 2.4 | % |   |   | 47 |   |
|                                                                                                                                                                                        |   |   | 100.0 | % |   |   |   |   |
|                                                                                                                                                                                        |   |   |   |   |   |   |   |   |
| Deferred      Electricity Cost                                                                                                                                                              |   |   |   |   |   |   | (7,381 | ) |
| Total                                                                                                                                                                                       |   |   |   |   |   | $ | 261,003 |   |

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|   | · | Eltings      Corners, NY maintenance and warehousefacility |
|--------|--------|------------------------------------------------------------|

|   | · | Rifton,      NY Training and Recreation Center |
|--------|--------|------------------------------------------------|

|   | · | NYS      Part 373 Permit for Hazardous Waste Storage Facility at Eltings      Corners |
|--------|--------|---------------------------------------------------------------------------------------|

|   | · | Waste      Transporter Permits for certainvehicles |
|--------|--------|----------------------------------------------------|

|   | · | Petroleum      Bulk Storage Certificates for the South Cairo and Coxsackie combustion      turbines and Catskill, Poughkeepsie, Fishkill, Newburgh, Kingston, Eltings      Corners and Stanfordvillefacilities |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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| Central      Hudson                               | Griffith                                         | CH-Auburn                                        | Lyonsdale                                        |
|---------------------------------------------------|--------------------------------------------------|--------------------------------------------------|--------------------------------------------------|
| 2009      - $6.4 million2010      - $17.5 million | 2009      - $0.1 million2010      - $0.4 million | 2009      - not material2010      - not material | 2009      - not material2010      - not material |

----

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|                           |   |     |   | Current                                                                                                            |   | Date      Commenced  |
|--------------------------------|--------|----------|--------|--------------------------------------------------------------------------------------------------------------------|--------|----------------------|
| Executive      Officers        |   | Age      |   | and      Prior Positions                                                                                           |   | CH      Energy Group |   | Central      Hudson |   | CHEC |
| Steven      V. Lant            |   | 52  |   | Chairman      of the Board                                                                                         |   | Apr      2004        |   | May      2004 |   | May      2004 |
|                           |   |     |   | Chief      Executive Officer                                                                                       |   | Jul      2003        |   | Jul      2003 |   | Jul      2003 |
|                           |   |     |   | President                                                                                                          |   | Jul      2003        |   |   |   | Jul      2003 |
|                           |   |     |   | Director                                                                                                           |   | Feb      2002        |   | Dec      1999 |   | Dec      1999 |
| James      P. Laurito(1)       |   | 53  |   | Executive      Vice President                                                                                      |   | Nov      2009        |   | Nov      2009 |   |   |
|                           |   |     |   | Director                                                                                                           |   |                 |   | Nov      2009 |   | Nov      2009 |
| Joseph      J. DeVirgilio, Jr. |   | 58  |   | Director                                                                                                           |   |                 |   | Mar      2005 |   | Apr      2003 |
|                           |   |     |   | Executive      Vice President -   Corporate      Services and   Administration       |   | Jan      2005        |   | Jan      2005 |   |   |
|                           |   |     |   | Executive      Vice President                                                                                      |   |                 |   |   |   | Jan      2003 |
| Christopher      M. Capone     |   | 47  |   | Executive      Vice President                                                                                      |   | Dec      2006        |   |   |   |   |
|                           |   |     |   | Director                                                                                                           |   |                 |   | Mar      2005 |   | Mar      2007 |
|                           |   |     |   | Chief      Financial Officer                                                                                       |   | Sep      2003        |   | Sep      2003 |   | Sep      2003 |
|                           |   |     |   | Treasurer                                                                                                          |   | Apr      2003        |   | Jun      2001 |   | Apr      2003 |
| John      E. Gould(2)          |   | 65  |   | Executive      Vice President   and      General Counsel                                            |   | Oct      2009        |   |   |   |   |
|                           |   |     |   | Secretary                                                                                                          |   | Mar      2007        |   | Jun      2007 |   | Jun      2007 |
|                           |   |     |   | Assistant      Secretary                                                                                           |   | Nov      1999        |   | Jan      2000 |   |   |
| Denise      D. VanBuren        |   | 48  |   | Secretary      and Vice   President      - Corporate   Communications                |   | Dec      2009        |   |   |   |   |
|                           |   |     |   | Vice      President -   Public      Affairs and   Energy      Efficiency             |   | Aug      2007        |   | Aug      2007 |   |   |
|                           |   |     |   | Vice      President -   Corporate      Communications   and      Community Relations |   | Nov      2000        |   | Nov      2000 |   |   |
| Charles      A. Freni, Jr.     |   | 50  |   | Senior      Vice President -   Customer      Services                                               |   |                 |   | Jan      2005 |   |   |
| W.      Randolph Groft         |   | 48  |   | Executive      Vice President                                                                                      |   |                 |   |   |   | Jan      2003 |
|                           |   |     |   | Director                                                                                                           |   |                 |   |   |   | Jan      2003 |
| Kimberly      J. Wright(3)     |   | 42  |   | Vice      President -   Accounting      and Controller                                              |   | May      2008        |   |   |   |   |
|                           |   |     |   | Controller                                                                                                         |   |                 |   | Oct      2006 |   |   |

| (1) | From      2003 to November 2009, served as the President and Chief Executive Officer      of New York State Electric and Gas Corporation and of Rochester Gas and      Electric Corporation; both companies are gas and electric      utilities. |
|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (2) | Before      October 2009, served as a partner of the law firm of Thompson Hine      LLP. |
|-----|------------------------------------------------------------------------------------------|

| (3) | From      January 2005 to October 2006, served as Director - Utility Group Budgets      and Forecasts of Northeast Utilities Service Company, a gas and electric      utility company. |
|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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| ITEM 1A      - | RISK      FACTORS |
|----------------|-------------------|

|   | · | Higher      expenses than reflected in current rates.  Higher expenses could      result from, among other things, increases in state and local taxes, storm      restoration expense, and/or other expense components such as labor, health      care benefits and/or higher levels of uncollectible receivables from      customers. |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Higher      electric and natural gas capital project costs resulting from escalation      of material and equipment prices, as well as potential delays in the      siting and legislative and/or regulatory approval requirements associated      with these projects. |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | A      determination by the PSC that the cost to place a project in service is      above a level which is deemedprudent. |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------|

|   | · | Penalties      imposed by the PSC for the failure to achieve performance metrics      established in rate proceedings. |
|--------|--------|------------------------------------------------------------------------------------------------------------------------|

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|   | · | Changes      in customers’ usage patterns driven by customer responses to product      prices, |
|--------|--------|------------------------------------------------------------------------------------------------------|

|   | · | Economic      conditions, |
|--------|--------|---------------------------|

|   | · | Energy      efficiency programs, and/or |
|--------|--------|-----------------------------------------|

|   | · | The      loss of major customers, the loss of a large number of customers, or the      addition of fewer new customers thanexpected. |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------|

|   | · | An      adverse impact on Griffith’s ability to attract new full-service      residential customers and retain existing full-service residential      customers, resulting in lower earnings and reduced cash flows. |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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|   | · | Further      sales volume reductions, and/or compressed margins resulting in lower      earnings and reduced cash flows. |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------|

|   | · | Increased      working capital requirements stemming from an increase in oil and/or      propane prices.   |
|--------|--------|----------------------------------------------------------------------------------------------------------------------|

|   | · | Actions      by the federal government that reduce the demand for, or increase the      supply of, ethanol.  Such actions could include, but are not      limited to, a reduction in the required level of ethanol blending or weak      enforcement of existing requirements, decreases in tax credits to refiners      and/or reductions in tariffs on imported  ethanol. |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Imbalances      in the supply of and demand for corn.  This could be caused by,      among other things (1) drought or other acts of nature, (2) increased      construction of new ethanol production facilities, (3) governmental      actions that discourage raising corn for use in ethanol production (such      as providing tax credits for corn grown for human consumption) or (4)      changes in agricultural markets, technology or  regulations. |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Volatility      in domestic and/or foreign markets. |
|--------|--------|-----------------------------------------------------|

----

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|   | · | Storms,      natural disasters, wars, terrorist acts, failure of major equipment and      other catastrophic events occurring both      within and outside Central Hudson’s and Griffith’s service      territories. |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Unfavorable      developments in the world oil markets could impact    Griffith. |
|--------|--------|----------------------------------------------------------------------------------|

|   | · | Third-party      facility owner or supplier financialdistress. |
|--------|--------|----------------------------------------------------------------|

|   | · | Unfavorable      governmental actions or judicialorders. |
|--------|--------|----------------------------------------------------------|

|   | · | Bulk      power system and gas transmission pipeline system capacity constraints      could impact Central Hudson. |
|--------|--------|--------------------------------------------------------------------------------------------------------------------|

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| ITEM 1B      - | UNRESOLVED STAFF      COMMENTS |
|----------------|--------------------------------|

| ITEM 2      - | PROPERTIES |
|---------------|------------|

| Type      of ElectricGenerating      Plant |   | Year      Placed inService/Rehabilitated |   |   | MW(1)      NetCapability |   |
|--------------------------------------------|--------|------------------------------------------|--------|--------|--------------------------|--------|
| Hydroelectric      (3 stations)            |   | 1920-1986                                |   |   |                     | 23.0   |   |
| Gas      turbine (2 stations)              |   | 1969-1970                                |   |   |                     | 46.0   |   |
| Total                                      |   |                                     |   |   |                     | 69.0   |   |

| (1) | Reflects      maximum one-hour net capability (winter rating as of December 31, 2009) of      Central Hudson’s electric generating plants and therefore does not include      firm purchases or sales. |
|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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| ITEM 3      - | LEGAL      PROCEEDINGS |
|---------------|------------------------|

| ITEM 4      - | SUBMISSION OF MATTERS      TO A VOTE OF SECURITYHOLDERS |
|---------------|---------------------------------------------------------|

| ITEM 5      - | MARKET FOR      REGISTRANT’S COMMON EQUITY, RELATED STOCKHOLDER MATTERS AND ISSUER      PURCHASES OF EQUITY SECURITIES |
|---------------|------------------------------------------------------------------------------------------------------------------------------|

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|                       |   | Base      Period |   |   | Years      Ending |   |
|----------------------------|--------|------------------|--------|--------|-------------------|--------|
|                       |   | Dec              |   |   | Dec               |   |   | Dec |   |   | Dec |   |   | Dec |   |   | Dec |   |
| Company      / Index       |   | 2004             |   |   | 2005              |   |   | 2006 |   |   | 2007 |   |   | 2008 |   |   | 2009 |   |
| CH      Energy Group, Inc. |   | $                | 100    |   |              | $      | 100.01 |   |   | $ | 120.30 |   |   | $ | 106.11 |   |   | $ | 129.37 |   |   | $ | 112.16 |   |
| S&P      500 Index     |   | $                | 100    |   |              | $      | 104.91 |   |   | $ | 121.48 |   |   | $ | 128.16 |   |   | $ | 80.74 |   |   | $ | 102.11 |   |
| EEI      Index             |   | $                | 100    |   |              | $      | 116.05 |   |   | $ | 140.14 |   |   | $ | 163.34 |   |   | $ | 121.03 |   |   | $ | 133.99 |   |

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|                 |   | Total      Numberof      SharesPurchased(1) |   |   | Average      Price Paid per Share(2) |   |   | Total      Number of Shares Purchased as Part of Publicly Announced Plans or      Programs(3) |   |   | Maximum      Number of Shares that May Yet be Purchased Under the Plans or      Programs(3) |   |
|----------------------|--------|---------------------------------------------|--------|--------|--------------------------------------|--------|--------|-----------------------------------------------------------------------------------------------|--------|--------|---------------------------------------------------------------------------------------------|--------|
| Dec.      1-31, 2009 |   |                                        | 285    |   |                                 | $      | 41.98  |                                                                                          |   |   | -                                                                                           |   |   |   | 2,000,000 |   |
| Total                |   |                                        | 285    |   |                                 | $      | 41.98  |                                                                                          |   |   | -                                                                                           |   |   |   | 2,000,000 |   |

| (1) | Shares      surrendered to CH Energy Group in satisfaction of tax withholdings on the      vesting of restricted shares. |
|-----|--------------------------------------------------------------------------------------------------------------------------|

| (2) | Closing      price of a share of CH Energy Group's common stock on the date the stock      was surrendered to the Company. |
|-----|----------------------------------------------------------------------------------------------------------------------------|

| (3) | On      July 31, 2007, the Board of Directors authorized the repurchase of up to      2,000,000 shares or approximately 13% of CH Energy Group's outstanding      common stock on that date, from time to time, over the five year period      ending July 31, 2012. |
|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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| ITEM 6      - | SELECTED FINANCIAL      DATA OF CH ENERGY GROUP AND ITS  SUBSIDIARIES |
|---------------|-----------------------------------------------------------------------|

|                                                                 |   | 2009   |      |   | 2008   |   |      | 2007   |   |   | 2006      |   |   | 2005   |      |
|----------------------------------------------------------------------|--------|--------|-----------|--------|--------|--------|-----------|--------|--------|--------|-----------|--------|--------|--------|-----------|
| Operating      Revenues                                              |   |   |      |   |   |   |      |   |   |   |      |   |   |   |      |
| Electric      - Delivery                                             |   | $      | 270,285   |   |   | $      | 236,333   |   |   | $      | 228,270   |   |   | $      | 205,287   |   |   | $ | 183,948 |   |
| Electric      - Supply                                               |   |   | 265,885   |   |   |   | 371,828   |   |   |   | 388,569   |   |   |   | 298,621   |   |   |   | 337,046 |   |
| Natural      Gas - Delivery                                          |   |   | 66,916    |   |   |   | 59,897    |   |   |   | 55,326    |   |   |   | 49,629    |   |   |   | 49,317 |   |
| Natural      Gas - Supply                                            |   |   | 107,221   |   |   |   | 129,649   |   |   |   | 110,123   |   |   |   | 105,643   |   |   |   | 106,285 |   |
| Competitive      business subsidiaries                               |   |   | 221,282   |   |   |   | 341,494   |   |   |   | 296,479   |   |   |   | 276,458   |   |   |   | 248,691 |   |
| Total                                                                |   |   | 931,589   |   |   |   | 1,139,201 |   |   |   | 1,078,767 |   |   |   | 935,638   |   |   |   | 925,287 |   |
|                                                                 |   |   |      |   |   |   |      |   |   |   |      |   |   |   |      |   |   |   |   |   |
| Operating      Income                                                |   |   | 80,399    |   |   |   | 70,952    |   |   |   | 75,659    |   |   |   | 76,552    |   |   |   | 78,698 |   |
|                                                                 |   |   |      |   |   |   |      |   |   |   |      |   |   |   |      |   |   |   |   |   |
| Income      from continuing operations                               |   |   | 34,427    |   |   |   | 32,609    |   |   |   | 42,004    |   |   |   | 42,816    |   |   |   | 44,619 |   |
| Income/(Loss)      from discontinued operations, net of tax          |   |   | 9,851     |   |   |   | 3,545     |   |   |   | 1,481     |   |   |   | 268       |   |   |   | (170 | ) |
| Dividends      declared on Preferred Stock of subsidiary             |   |   | 970       |   |   |   | 970       |   |   |   | 970       |   |   |   | 970       |   |   |   | 970 |   |
| Net      Income attributable to CH Energy Group                      |   |   | 43,484    |   |   |   | 35,081    |   |   |   | 42,636    |   |   |   | 43,084    |   |   |   | 44,291 |   |
| Dividends      Declared on Common Stock                              |   |   | 34,119    |   |   |   | 34,086    |   |   |   | 34,052    |   |   |   | 34,046    |   |   |   | 34,046 |   |
| Change      in Retained Earnings                                     |   |   | 9,365     |   |   |   | 995       |   |   |   | 8,584     |   |   |   | 9,038     |   |   |   | 10,245 |   |
| Retained      Earnings - beginning of year                           |   |   | 216,634   |   |   |   | 215,639   |   |   |   | 207,055   |   |   |   | 198,017   |   |   |   | 187,772 |   |
| Retained      Earnings - end of year                                 |   | $      | 225,999   |   |   | $      | 216,634   |   |   | $      | 215,639   |   |   | $      | 207,055   |   |   | $ | 198,017 |   |
|                                                                 |   |   |      |   |   |   |      |   |   |   |      |   |   |   |      |   |   |   |   |   |
| Common      Share Data:                                              |   |   |      |   |   |   |      |   |   |   |      |   |   |   |      |   |   |   |   |   |
| Average      shares outstanding - basic                              |   |   | 15,775    |   |   |   | 15,768    |   |   |   | 15,762    |   |   |   | 15,762    |   |   |   | 15,762 |   |
| Income      from continuing operations - basic                       |   | $      | 2.13      |   |   | $      | 2.00      |   |   | $      | 2.61      |   |   | $      | 2.71      |   |   | $ | 2.82 |   |
| Income/(Loss)      from discontinued operations - basic              |   | $      | 0.63      |   |   | $      | 0.22      |   |   | $      | 0.09      |   |   | $      | 0.02      |   |   | $ | (0.01 | ) |
| Net      Income attributable to CH Energy Group - basic              |   | $      | 2.76      |   |   | $      | 2.22      |   |   | $      | 2.70      |   |   | $      | 2.73      |   |   | $ | 2.81 |   |
| Average      shares outstanding - diluted                            |   |   | 15,881    |   |   |   | 15,805    |   |   |   | 15,779    |   |   |   | 15,779    |   |   |   | 15,767 |   |
| Income      from continuing operations - diluted                     |   | $      | 2.12      |   |   | $      | 2.00      |   |   | $      | 2.61      |   |   | $      | 2.71      |   |   | $ | 2.82 |   |
| Income/(Loss)      from discontinued operations - diluted            |   | $      | 0.62      |   |   | $      | 0.22      |   |   | $      | 0.09      |   |   | $      | 0.02      |   |   | $ | (0.01 | ) |
| Net      Income attributable to CH Energy Group - diluted            |   | $      | 2.74      |   |   | $      | 2.22      |   |   | $      | 2.70      |   |   | $      | 2.73      |   |   | $ | 2.81 |   |
| Dividends      declared per share                                    |   | $      | 2.16      |   |   | $      | 2.16      |   |   | $      | 2.16      |   |   | $      | 2.16      |   |   | $ | 2.16 |   |
| Book      value per share (at year-end)                              |   | $      | 33.76     |   |   | $      | 33.17     |   |   | $      | 33.19     |   |   | $      | 32.54     |   |   | $ | 31.97 |   |
|                                                                 |   |   |      |   |   |   |      |   |   |   |      |   |   |   |      |   |   |   |   |   |
| Total      Assets (at year-end)                                      |   | $      | 1,697,883 |   |   | $      | 1,730,183 |   |   | $      | 1,494,748 |   |   | $      | 1,460,532 |   |   | $ | 1,384,280 |   |
| Long-term      Debt (at year-end)(2)                                 |   |   | 463,897   |   |   |   | 413,894   |   |   |   | 403,892   |   |   |   | 337,889   |   |   |   | 343,886 |   |
| Cumulative      Preferred Stock (at year-end)                        |   |   | 21,027    |   |   |   | 21,027    |   |   |   | 21,027    |   |   |   | 21,027    |   |   |   | 21,027 |   |
| Total      CH Energy Group Common Shareholders' Equity (at year-end) |   |   | 533,502   |   |   |   | 523,534   |   |   |   | 523,148   |   |   |   | 512,862   |   |   |   | 503,833 |   |

| (1) | This      summary should be read in conjunction with the Consolidated Financial      Statements and Notes thereto included in Item 8 - “Financial      Statements and Supplementary Data” of this 10-K Annual    Report. |
|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (2) | Net      of current maturities of long-termdebt. |
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|                                                  |   | 2009   |      |   | 2008   |   |      | 2007   |   |   | 2006      |   |   | 2005   |      |
|-------------------------------------------------------|--------|--------|-----------|--------|--------|--------|-----------|--------|--------|--------|-----------|--------|--------|--------|-----------|
| Operating      Revenues                               |   |   |      |   |   |   |      |   |   |   |      |   |   |   |      |
| Electric      - Delivery                              |   | $      | 275,167   |   |   | $      | 242,334   |   |   | $      | 233,033   |   |   | $      | 208,284   |   |   | $ | 183,948 |   |
| Electric      - Supply                                |   |   | 261,003   |   |   |   | 365,827   |   |   |   | 383,806   |   |   |   | 295,624   |   |   |   | 337,046 |   |
| Natural      Gas - Delivery                           |   |   | 66,916    |   |   |   | 59,897    |   |   |   | 55,326    |   |   |   | 49,629    |   |   |   | 49,317 |   |
| Natural      Gas - Supply                             |   |   | 107,221   |   |   |   | 129,649   |   |   |   | 110,123   |   |   |   | 105,643   |   |   |   | 106,285 |   |
| Total                                                 |   |   | 710,307   |   |   |   | 797,707   |   |   |   | 782,288   |   |   |   | 659,180   |   |   |   | 676,596 |   |
|                                                  |   |   |      |   |   |   |      |   |   |   |      |   |   |   |      |   |   |   |   |   |
| Operating      Income                                 |   |   | 76,338    |   |   |   | 67,344    |   |   |   | 71,406    |   |   |   | 70,956    |   |   |   | 70,791 |   |
|                                                  |   |   |      |   |   |   |      |   |   |   |      |   |   |   |      |   |   |   |   |   |
| Net      Income                                       |   |   | 32,776    |   |   |   | 27,238    |   |   |   | 33,436    |   |   |   | 34,871    |   |   |   | 35,635 |   |
|                                                  |   |   |      |   |   |   |      |   |   |   |      |   |   |   |      |   |   |   |   |   |
| Dividends      Declared on Cumulative Preferred Stock |   |   | 970       |   |   |   | 970       |   |   |   | 970       |   |   |   | 970       |   |   |   | 970 |   |
|                                                  |   |   |      |   |   |   |      |   |   |   |      |   |   |   |      |   |   |   |   |   |
| Income      Available for Common Stock                |   |   | 31,806    |   |   |   | 26,268    |   |   |   | 32,466    |   |   |   | 33,901    |   |   |   | 34,665 |   |
| Dividends      Declared to Parent - CH Energy Group   |   |   | -         |   |   |   | -         |   |   |   | 8,500     |   |   |   | 8,500     |   |   |   | 17,000 |   |
| Change      in Retained Earnings                      |   |   | 31,806    |   |   |   | 26,268    |   |   |   | 23,966    |   |   |   | 25,401    |   |   |   | 17,665 |   |
| Retained      Earnings - beginning of year            |   |   | 118,944   |   |   |   | 92,676    |   |   |   | 68,710    |   |   |   | 43,309    |   |   |   | 25,644 |   |
| Retained      Earnings - end of year                  |   | $      | 150,750   |   |   | $      | 118,944   |   |   | $      | 92,676    |   |   | $      | 68,710    |   |   | $ | 43,309 |   |
|                                                  |   |   |      |   |   |   |      |   |   |   |      |   |   |   |      |   |   |   |   |   |
| Total      Assets (at year -end)                      |   | $      | 1,485,600 |   |   | $      | 1,492,196 |   |   | $      | 1,252,694 |   |   | $      | 1,215,823 |   |   | $ | 1,126,106 |   |
| Long-term      Debt (at year-end)(2)                  |   |   | 413,897   |   |   |   | 413,894   |   |   |   | 403,892   |   |   |   | 337,889   |   |   |   | 343,886 |   |
| Cumulative      Preferred Stock (at year-end)         |   |   | 21,027    |   |   |   | 21,027    |   |   |   | 21,027    |   |   |   | 21,027    |   |   |   | 21,027 |   |
| Total      Equity (at year-end)                       |   |   | 430,080   |   |   |   | 373,274   |   |   |   | 347,006   |   |   |   | 323,040   |   |   |   | 297,639 |   |
|                                                  |   |   |      |   |   |   |      |   |   |   |      |   |   |   |      |   |   |   |   |   |

| (1) | This      summary should be read in conjunction with the Consolidated Financial      Statements and Notes thereto included in Item 8 - “Financial      Statements and Supplementary Data” of this 10-K Annual    Report. |
|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (2) | Net      of current maturities of long-termdebt. |
|-----|--------------------------------------------------|

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| ITEM 7      - | MANAGEMENT’S      DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF      OPERATIONS |
|---------------|-------------------------------------------------------------------------------------------------------|

|   | (4) | CHEC’s      investments in renewable energy supply, energy efficiency, an energy      sector venture capital fund and the holding company’s activities, which      consist primarily of financing its subsidiaries and business      development. |
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|   | (1) | A      portion of the revenues above represent amounts collected from customers      for the recovery of purchased electric and natural gas costs at Central      Hudson and the cost of purchased petroleum products at Griffith and      therefore have no material impact on net income.  A breakout of      these components is as follows: |
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|   | · | Using      meters that can be read from a distance, increasing meter readers’      productivity |
|--------|--------|-------------------------------------------------------------------------------------------------------|

|   | · | Installing      monitoring equipment that provides employees the ability to identify and      address operating problems before they can cause an interruption in      service to customers |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Using      recycled materials - which are less expensive and more environmentally      friendly than the more common alternative of sand or crushed stone - to      refill trenches after completing underground  work |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Using      GPS technology to optimize the efficiency of scheduling field      employees |
|--------|--------|-----------------------------------------------------------------------------------------|

|   | · | Using      scanning technology to more efficiently track and reduce      inventories |
|--------|--------|--------------------------------------------------------------------------------------|

|   | · | Implementation      of a web-based tool for customers to identify outages and monitor      restoration efforts following a loss of power from  storms |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Using      technology that allows a greater number of software programs to run on the      same hardware |
|--------|--------|----------------------------------------------------------------------------------------------------------|

|   | · | Increasing      the use of electronic bills and paymentoptions |
|--------|--------|----------------------------------------------------------------|

|   | · | Challenging      vendors to reduce costs |
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|   | · | Electric      and gas delivery increases effective July 1, 2009, of $39.6 million and      $13.8 million, respectively.  The electric rate increase will be      moderated by a $20.0 million customer bill credit from an excess      depreciation reserve. |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Common      equity ratio of 47% of permanentcapital. |
|--------|--------|------------------------------------------------------|

|   | · | Base      return on equity (“ROE”) of 10.0%. |
|--------|--------|----------------------------------------------------------|

|   | · | RDMs      for both electric and gas delivery service.  While the primary      purpose of the RDMs is to remove a disincentive for the Company to promote      energy efficiency to its customers, they should also serve to prevent a      significant revenue shortfall such as that which occurred during the three      year period of the rate plan which ended on June 30,  2009. |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | An      austerity expense savings imputation of $3.0 million ($2.4 million      electric and $0.6 million gas, respectively).  The 2009 Rate      Order required the Company to supplement its June 15 austerity filing to      identify specific capital and expense reductions that will be used to      implement its austerity program (which is further discussed below in Case      09-M-0435). |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Continued      funding for the full recovery of the Company’s current pension and OPEB      costs and continued deferral authorization for pensions, OPEBs, research      and development costs, stray voltage testing, MGP site remediation      expenditures and electric and gas supply cost recovery and deferral      treatment for variable rate debt. |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | New      deferral authorizations for: fixed debt costs; the costs to bring electric      lines into compliance with current height above ground requirements; and      the recently enacted New York State Temporary  Assessment. |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Continuation,      with minor modifications, of the Company’s Electric Reliability, Gas      Safety and Customer Service performance  mechanisms. |
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|   | · | Recovery      through offset against a deferred liability account (non-cash) of the $3.3      million in incremental storm restoration costs incurred from the December      2008 ice storm (which is further discussed  below). |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | The      accounting treatment and level of expense associated with the cost of      removal for gas main replacements. |
|--------|--------|------------------------------------------------------------------------------------------------------------------------|

|   | · | The      disallowance of 50% of Central Hudson’s Directors and Officers      insurance. |
|--------|--------|-----------------------------------------------------------------------------------------------|

|   | · | Inadequate      recovery of non-MGP environmentalexpenses. |
|--------|--------|------------------------------------------------------------|

|   | · | Inconsistency      of the carrying charge rate for RDMs relative to other comparable deferred      items. |
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|   | · | A      proposed one-year increase of $15.2 million and $3.9 million of electric      and natural gas delivery rates,respectively. |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------|

|   | · | Common      equity ratio of 48% and a base return on equity (“ROE”) of      10.0%.  The 10.0% ROE reflects the result of the PSC’s decision      on the Company’s allowed ROE in the 2009 Rate Order.  Central      Hudson reserved its rights to file an update to increase or reduce the      requested rate of return should economic conditions change.  The      current Rate Order permits a common equity ratio of 47% with an allowed      base ROE of 10.0%. |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Ongoing      need for electric and natural gas system infrastructure      improvements |
|--------|--------|----------------------------------------------------------------------------------------|

|   | · | Regulatory      mandates |
|--------|--------|--------------------------|

|   | · | Higher      operating costs |
|--------|--------|-----------------------------|

|   | · | Rising      property taxes |
|--------|--------|----------------------------|

|   | · | Rising      uncollectibles |
|--------|--------|----------------------------|

|   | · | MGP      site remediation |
|--------|--------|---------------------------|

|   | · | Stray      voltage testing of Central Hudson owned and municipally owned electric      facilities |
|--------|--------|---------------------------------------------------------------------------------------------------|

|   | · | Distribution      line tree trimming |
|--------|--------|--------------------------------------|

|   | · | Enhanced      electric transmission right of way management  practices |
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|   | · | Electric      delivery increases of $30.2 million over the three year term with annual      delivery rate increases of $11.8 million, $9.3 million and $9.1 million      effective July 1, 2010, 2011 and 2012, respectively.  A natural      gas delivery rate increase of $9.7 million is to be phased in over three      years with annual delivery increases of $5.7 million, $2.4 million and      $1.6 million effective July 1, 2010, 2011 and 2012,      respectively.  The electric rate increase will be moderated by      the continuation of the electric Bill Credit mechanisms from Case      08-E-0887 reduced from $20 million in the current rate year, to $12      million and $4 million in RY1 and RY2, respectively, after which the      credit mechanism ceases. |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | A      common equity ratio of 48% of permanent capital and a base return on      common equity of 10% earnings up to 10.5% retained by Central      Hudson.  Earnings in excess of 10.5% up to 11.0% will be shared      equally between customers and Central Hudson, and earnings in excess of      11.0% up to 11.5% will be shared 80/20 between customers and Central      Hudson.  Earnings in excess of 11.5% will be shared 90/10      between customers and CentralHudson. |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Continuation      of the existing RDMs, with minor modifications, that are currently in      place for both gas and electricservice. |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Electric,      gas and common capital expenditures with deferral on any shortfalls in      capital expenditures spending as measured against the electric and gas net      plant targets as reflected inrates. |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Continuation      of the existing gas and electric supply cost recovery mechanisms, and      continued deferral authorization for pensions, OPEBs, research and      development costs, asbestos litigation, MGP site remediation expenditures,      the low income Enhanced Powerful Opportunities (“EPOP”) program, stray      voltage mitigation costs, General and Temporary State Assessment, and      transmission sag program. |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Continued      deferral authorization for variable rate debt costs for the entire term,      with deferral on new fixed rate debt issuances in RY2 and    RY3. |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | A      new, shared property tax deferral, with differences shared 90/10 between      customers/Company, with the Company’s exposure (or gain) capped at 10      basis points of common equityannually. |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | New      deferral authority for management audit costs (with a $200,000 annual rate      allowance) and costs related to the implementation of International      Financial Reporting Standards (“IFRS”) in RY2 and RY3, however, IFRS costs      are subject to a deferral cap of$375,000. |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | New      deferral authority for any legislative, governmental, and PSC or other      regulatory actions (subject to a 2% of net income materiality      threshold). |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Updated      allowance factors for electric and gas uncollectible expense, with new      factors and rate allowance based on the Company’s most recent history      through November 30, 2009, but without deferral authority for actual net      bad debt write offs in excess of the rate  allowance. |
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|   | · | Full      funding support for continued transmission ROW maintenance and      distribution tree trimming funding of $36 million over the term of the      agreement, with a commitment to complete the first complete cycle of the      four year Modified Enhanced Trimming Program by December 31, 2011, with      deferral on any spendingshortfalls. |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | A      productivity adjustment of 1.5% of labor and related expenses for each of      the three rate years, with no other specified austerity      reductions. |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Continuation      of existing performance mechanisms for electric reliability, gas safety,      and customer service performance mechanisms with penalties for      non-achievement. |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Increased      funding for expansion of the Company’s low-income program, expanded to      serve an incremental 110 customers each year of the rate plan, with      increased bill credits in each of the three rate  years. |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Additional      terms of the Joint Proposal include a storm restoration allowance set at      $5 million annually, Directors and Officers insurance expense recovery      increased from 50% to 70% and an Economic Development rate allowance      established in RY3 at $300,000. |
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|   | · | June      15, 2009 - Central Hudson filed its response, describing the financial      austerity conditions it had been operating under throughout the term of      the 2006 Rate Order, and identifying capital costs it may avoid or defer      to the next year and expense reductions that could be taken as further      austerity measures without impairing our ability to provide safe and      adequate service. |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | June      22, 2009 - The PSC incorporated $3 million in austerity reductions into      Central Hudson’s rates that were approved in the 2009 Rate Order for rates      beginning July 1, 2009. |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | July      7, 2009 - Central Hudson filed its required Supplemental Austerity filing      for PSC approval as a compliance filing in Cases 08-E-0887 and      08-G-0888.  The filing identified electric, gas and common      capital reductions that equate to $980,000 of the $2.4 million electric      and $360,000 of the $600,000 gas Economic Austerity Imputations      established in the 2009 Rate Order.  To address the balance of      the austerity imputation, Central Hudson proposed a total of $1.48 million      of gas and electric expense reductions to several expense items including      research and development activities; certain maintenance expenditures; and      informational and institutional advertising.  Central Hudson      also proposed executive salary freezes during 2010 and funding the      allowance for the approved transmission enhanced infrastructure      maintenance program through charges to its remaining electric excess      depreciation reserve.  None of the measures proposed by the      Company are expected to materially affect the Company’s ability to provide      safe and adequate service in the rateyear. |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | December      22, 2009 - The PSC issued an Order Approving Ratepayer Credits in this      proceeding, approving an austerity filing and specifying bill credits for      a utility other than Central Hudson.  The Order directed      utilities to proceed to comply with any existing obligations and      commitments, and to further address austerity in any new rate filings, and      further directed utilities, until the current economic downturn reverses,      to employ as many cost-cutting measures as possible, including but not      limited to, training of employees in only safety or legally mandated      areas, freezing managerial salaries, foregoing managerial bonuses, and      limiting travel.  The Order did not address Central Hudson’s      austerity plan or supplemental austerity plan compliance filing, or direct      any further action for CentralHudson. |
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|   | · | State      Energy Plan |
|--------|--------|------------------------|

|   | Ø | Governor      Paterson issued an Executive Order establishing a State Energy Planning      Board and authorizing the creation and implementation of a State Energy      Plan (“SEP”). |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | Ø | Central      Hudson submitted its own comments on the draft scope of the State Energy      Plan and joined those submitted by the Energy Association of New York      State Member Companies’ comments.  Central Hudson also provided      briefing papers to the SEP working group on pressing issues facing Central      Hudson for consideration in developing theSEP. |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | PSC |
|--------|--------|-----|

|   | Ø | Central      Hudson has filed comments with the PSC supporting the opportunity to      establish energy efficiency businesses, with corresponding opportunities      to contribute to the state energy goal of reducing electricity consumption      by 15% by 2015 and provide meaningful earnings for investors from energy      efficiency services. |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | Ø | The      PSC established energy efficiency targets to be achieved by individual      utilities through 2011 that included three utility administered fast track      programs and five fast track programs to be administered by the New York      State Energy Research and Development Authority      (“NYSERDA”).  Central Hudson has filed its plans to implement      its programs with the PSC. |
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|   | Ø | Effective      October 1, 2008, the PSC ordered the creation of a gas System Benefit      Charge and increased electric System Benefit Charges to invest in funding      these energy efficiency programs. |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | On      January 7, 2009, Governor Paterson outlined various strategies and policy      goals in his State of the State address, including one of the most      aggressive clean energy goals in the country, with a goal for New York to      meet 45% of its electricity needs by 2015 (“45 x 15”) through improved      energy efficiency and clean renewable energy production.  This would      be accomplished by expanding the Renewable Portfolio Standard from 25% by      2013 to 30% by 2015 and decreasing electric usage by 15% by      2015. |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | A      SEP Interim Report was issued for comment on March 31,      2009.  Central Hudson filed comments on May 15, 2009 in support      of policies and efforts with potential to promote economic development and      job creation, foster private investment, increase the tax base, enhance      energy reliability, lower customer bills and protect public health, safety      and the environment.  The 2009 Draft SEP was issued on August      10, and the Final 2009 State Energy Plan was issued on December 15,      2009.  The plan adopts the following policy objectives: to      assure that New York has reliable energy and transportation systems, to      support energy and transportation systems that enable the State to      significantly reduce greenhouse emissions, to address affordability      concerns caused by rising energy bills and improve the State’s economic      competitiveness.  The SEP is designed to also reduce health and      environmental risks associated with the production and use of energy      across all sectors and to improve the State’s energy independence and fuel      diversity by developing in-state energy supply resources.  The      strategies to achieve these policy objectives include producing,      delivering and using energy more efficiently, supporting development of      in-state energy supplies, investing in the energy and transportation      infrastructure, stimulating innovation in a clean energy economy and      engaging others in achieving the State’s policy  objectives. |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | The      PSC continues to work on additional issues of the energy efficiency      program design with participation by interested parties in various working      groups that include utility performance incentives, on-bill financing,      demand response and peak reduction and impacts on low-income and rental      customers. |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Central      Hudson received approval through the Energy Efficiency Portfolio Standard      (“EEPS”) proceedings in January 2009 to implement electric energy      efficiency programs including a Residential Electric HVAC Electric program      and a Small Commercial Business program.  These two programs      have been operational since May2009. |
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|   | · | Central      Hudson received approval through the EEPS proceedings in April 2009 to      implement a gas energy efficiency program for Residential Natural Gas HVAC      equipment. This program has been operational since July    2009. |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Central      Hudson received approval through the EEPS proceedings in October 2009 to      implement a mid-size business efficiency program for commercial customers.      Central Hudson received approval through the EEPS proceedings in December      2009 to implement an appliance recycling program for residential customers      and an expanded Residential Electric HVAC equipment program. These      programs will be operational in2010. |
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|   | · | On      April 14, 2009, Central Hudson filed its AMI and Smart Grid Proposal with      the PSC. |
|--------|--------|-------------------------------------------------------------------------------------------------|

|   | · | On      April 14, 2009, the PSC issued its “Proposed Framework for the      Benefit-Cost Analysis of Advanced Metering Infrastructure”.  A      Notice Seeking Comment on the proposal was also issued directing parties      to file comments on the generic benefit-cost framework by June 15,      2009. |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | The      Company filed comments on June 15,2009. |
|--------|--------|--------------------------------------------------|

|   | · | In      an AMI / ARRA Order issued July 27, 2009, the PSC approved the Company’s      project proposals, which allows the Company to demonstrate on application      to the DOE, a ratepayer commitment, through cost recovery via a surcharge,      for the portion of eligible project costs not covered by the DOE      grant.  This PSC funding approval was necessary for the Company      to proceed with its DOE filing. |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | On      August 4, 2009, Central Hudson submitted its grant application with the      DOE. |
|--------|--------|-------------------------------------------------------------------------------------------|

|   | · | On      October 27, 2009, the DOE notified Central Hudson that the Company’s      application submitted in response to the Smart Grid Investment Grant      funding opportunity was not selected foraward. |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Central      Hudson is currently reviewing and reconsidering its AMI / Smart Grid      position.  No prediction can be made regarding future steps at      this time. |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | On      April 2, 2009, the PSC sent a letter to the state’s regulated utilities      requesting a submittal of project lists from the utilities that are being      considered for application for ARRAfunding. |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | The      ARRA funding in some cases only covers a portion of the project costs and      therefore will require other funding sources which may include ratepayer      funds for which PSC approval isrequired. |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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|   | · | Regulated      utilities, New York Power Authority, Long Island Power Authority, and      NYISO, along with other parties collaborated on portions of project      filings. |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Central      Hudson submitted its current project list to the PSC on April 17, 2009 and      filed its updated stimulus plans with the PSC on July 2,      2009.  Included in this filing were Central Hudson’s Smart Grid      project, and two collaborative projects including the Statewide Capacitor      Installation and the Statewide Phasor Monitoring Unit (“PMU”)      Project.  On May 29, 2009, Central Hudson applied for ARRA      funding under the “Clean Cities FY09 Petroleum Reduction Technologies      Projects for the Transportation Sector” funding opportunity in      collaboration with the New York and Lower Hudson Valley Clean Communities      and NYSERDA. |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Smart      Grid / AMI |
|--------|--------|-----------------------|

|   | Ø | In      an AMI / ARRA Order issued July 27, 2009, the PSC approved Central      Hudson’s project proposals, which allows Central Hudson to demonstrate on      application to the DOE, a ratepayer commitment, through cost recovery via      a surcharge, for the portion of eligible project costs not covered by the      DOE grant.  This PSC funding approval was necessary for Central      Hudson to proceed with its DOEfiling. |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | Ø | On      August 4, 2009, Central Hudson submitted its grant application with the      DOE. |
|--------|--------|-------------------------------------------------------------------------------------------|

|   | Ø | On      October 27, 2009, the DOE notified Central Hudson that its application      submitted in response to the Smart Grid Investment Grant funding      opportunity was not selected foraward. |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | Ø | Central      Hudson is currently reviewing and reconsidering its AMI / Smart Grid      position.  No prediction can be made regarding future steps at      this time. |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Statewide      Collaborative Projects |
|--------|--------|---------------------------------------|

|   | Ø | On      August 6, 2009, the NYISO submitted its grant application for the      collaborative projects. |
|--------|--------|--------------------------------------------------------------------------------------------------------|

|   | Ø | On      October 27, 2009, the DOE notified the NYISO that the Statewide Capacitor      Installation Project and the Statewide PMU Project have been approved and      awarded the NYISO $37.4 million of the total $75.7 million for the      projects.  Central Hudson’s portion of this project is $1.6      million of the total $3.1 million for the Capacitor Installation Project      and $0.1 million of the total $0.2 million for the Statewide PMU      Project. |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | Ø | Central      Hudson is currently working with the NYISO and the other New York State      utilities on a Sub-Award Agreement for these  projects. |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------|

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|   | Ø | The      EEI has requested the DOE to seek clarification from the IRS and the      Treasury Department on the issue of the taxability of DOE grants under the      ARRA. |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | Ø | Central      Hudson has a tariff filing due on March 1, 2010 to define the mechanism      for recovery from customers for the portion of the projects not provided      through the DOE grant. |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Plug-In      Hybrid Technologies |
|--------|--------|----------------------------------|

|   | Ø | On      August 26, 2009, Central Hudson was notified that its grant request to      fund the incremental cost of Plug-In Hybrid and Hybrid technology for      eight heavy duty line trucks, and associated charging infrastructure      improvements was successful, and received $0.7 million to implement the      technologies in 2010 and 2011. |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | Ø | The      development of Plug-In Hybrid and Hybrid systems in regard to this grant      has the potential to reduce fleet diesel fuel consumption by approximately      10,000 gallons annually and associated emissions.  No prediction      can be made regarding the final outcome of this matter; however, any      overall earnings impacts are not likely to be  material. |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Central      Hudson filed its petition on March 26,2009. |
|--------|--------|----------------------------------------------------------|

|   | · | An      order approving the above requests was received on September 22,      2009. |
|--------|--------|-------------------------------------------------------------------------------------|

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|                                 |   | Year      Ended December 31, |   |
|--------------------------------------|--------|------------------------------|--------|
|                                 |   | 2009                         |   |   | 2008 |   |   | 2007 |   |
| Net      Cash Provided By/(Used In): |   |                         |   |
| Operating      Activities            |   | $                            | 126.4  |   |   | $ | 110.3 |   |   | $ | 34.1 |   |
| Investing      Activities            |   |                         | (55.7  | ) |   |   | (88.7 | ) |   |   | (73.7 | ) |
| Financing      Activities            |   |                         | (17.1  | ) |   |   | (13.1 | ) |   |   | 26.8 |   |
| Net      change for the period       |   |                         | 53.6   |   |   |   | 8.5 |   |   |   | (12.8 | ) |
| Balance      at beginning of period  |   |                         | 19.8   |   |   |   | 11.3 |   |   |   | 24.1 |   |
| Balance      at end of period        |   | $                            | 73.4   |   |   | $ | 19.8 |   |   | $ | 11.3 |   |

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|                                 |   | Year      Ended December 31, 2009 |   |
|--------------------------------------|--------|-----------------------------------|--------|
|                                 |   | 2009                              |   |   | 2008 |   |   | 2007 |   |
| Net      Cash Provided By/(Used In): |   |                              |   |
| Operating      Activities            |   | $                                 | 107.5  |   |   | $ | 68.1 |   |   | $ | 32.8 |   |
| Investing      Activities            |   |                              | (107.3 | ) |   |   | (80.2 | ) |   |   | (83.3 | ) |
| Financing      Activities            |   |                              | 2.1    |   |   |   | 11.0 |   |   |   | 52.4 |   |
| Net      change for the period       |   |                              | 2.3    |   |   |   | (1.1 | ) |   |   | 1.9 |   |
| Balance      at beginning of period  |   |                              | 2.5    |   |   |   | 3.6 |   |   |   | 1.7 |   |
| Balance      at end of period        |   | $                                 | 4.8    |   |   | $ | 2.5 |   |   | $ | 3.6 |   |

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| CH Energy      Group    |   |   |       |   |       |   |       |       |   |
|-------------------------|--------|--------|------------|--------|------------|--------|------------|------------|--------|
|                    |   | 2009   |       |   | 2008  |   |       | 2007  |   |
| Long-term      debt(1)  |   |   | 46.8       | %      |       |   | 42.8       | %          |   |   | 40.8 | % |
| Short-term      debt    |   |   | -          |   |       |   | 3.5        |       |   |   | 4.3 |   |
| Preferred      stock    |   |   | 2.0        |   |       |   | 2.1        |       |   |   | 2.1 |   |
| Common      equity      |   |   | 51.2       |   |       |   | 51.6       |       |   |   | 52.8 |   |
|                    |   |   | 100.0      | %      |       |   | 100.0      | %          |   |   | 100.0 | % |
|                    |   |   |       |   |       |   |       |       |   |   |   |   |
| Central      Hudson     |   |   |       |   |       |   |       |       |   |   |   |   |
|                    |   |   | 2009  |   |       |   | 2008  |       |   |   | 2007  |   |
| Long-term      debt     |   |   | 49.2       | %      |       |   | 50.8       | %          |   |   | 49.6 | % |
| Short-term      debt(2) |   |   | -          |   |       |   | 3.0        |       |   |   | 5.2 |   |
| Preferred      stock    |   |   | 2.4        |   |       |   | 2.5        |       |   |   | 2.6 |   |
| Common      equity      |   |   | 48.4       |   |       |   | 43.7       |       |   |   | 42.6 |   |
|                    |   |   | 100.0      | %      |       |   | 100.0      | %          |   |   | 100.0 | % |
|                    |   |   |       |   |       |   |       |       |   |   |   |   |
| CHEC                    |   |   |       |   |       |   |       |       |   |   |   |   |
|                    |   |   | 2009       |   |       |   | 2008       |       |   |   | 2007 |   |
| Long-term      debt(1)  |   |   | 32.1       | %      |       |   | 26.8       | %          |   |   | 48.9 | % |
| Short-term      debt    |   |   | -          |   |       |   | 6.4        |       |   |   | - |   |
| Preferred      stock    |   |   | -          |   |       |   | -          |       |   |   | - |   |
| Common      equity      |   |   | 67.9       |   |       |   | 66.8       |       |   |   | 51.1 |   |
|                    |   |   | 100.0      | %      |       |   | 100.0      | %          |   |   | 100.0 | % |

| (1) | Based      on stand-alone financial statements and including intercompany balances      which are eliminated uponconsolidation. |
|-----|---------------------------------------------------------------------------------------------------------------------------------|

| (2) | Excluded      from the common equity ratio under the PSC’s methodology for Central      Hudson delivery rates |
|-----|---------------------------------------------------------------------------------------------------------------------|

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| Projected Payments Due By      Period                 |   |                      |    |   |                 |   |    |                 |   |   |                |   |   |
|-------------------------------------------------------|--------|---------------------------|---------|--------|----------------------|--------|---------|----------------------|--------|--------|---------------------|--------|--------|
|                                                  |   |                      |    |   |                 |   |    |                 |   |   |                |   |   |   |   |
|                                                  |   | Less      than1      year |    |   | YearsEnding2011-2012 |   |    | YearsEnding2013-2014 |   |   | 2015      and After |   |   | Total |   |
| Long-Term      Debt(1)                                |   | $                         | 24,000  |   |                 | $      | 37,948  |                 |   | $      | 72,726              |   |   | $ | 353,276 |   |   | $ | 487,950 |   |
| Interest      Payments - Long-Term Debt(1)            |   |                      | 22,737  |   |                 |   | 42,042  |                 |   |   | 35,303              |   |   |   | 206,358 |   |   |   | 306,440 |   |
| Operating      Leases                                 |   |                      | 2,450   |   |                 |   | 4,904   |                 |   |   | 4,565               |   |   |   | 8,992 |   |   |   | 20,911 |   |
| Construction/Maintenance      & Other Projects(2) |   |                      | 79,307  |   |                 |   | 29,849  |                 |   |   | 7,663               |   |   |   | 3,784 |   |   |   | 120,603 |   |
| Purchased      Electric Contracts(3)                  |   |                      | 109,732 |   |                 |   | 40,355  |                 |   |   | 7,998               |   |   |   | 3,613 |   |   |   | 161,698 |   |
| Purchased      Natural Gas Contracts(3)               |   |                      | 55,369  |   |                 |   | 53,410  |                 |   |   | 22,624              |   |   |   | 49,599 |   |   |   | 181,002 |   |
| Purchased      Fixed Liquid Petroleum Contracts(4)    |   |                      | 3,959   |   |                 |   | -       |                 |   |   | -                   |   |   |   | - |   |   |   | 3,959 |   |
| Total      Contractual Obligations(5)                 |   | $                         | 297,554 |   |                 | $      | 208,508 |                 |   | $      | 150,879             |   |   | $ | 625,622 |   |   | $ | 1,282,563 |   |

| (1) | Includes      fixed rate obligations and variable interest rate bonds with estimated      variable interest payments based on the actual interest paid in      2009. |
|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (2) | Including      Specific, Term, and Service Contracts, briefly defined as      follows:  Specific Contracts consist of work orders for      construction; Term Contracts consist of maintenance contracts; Service      Contracts include consulting, educational, and professional service      contracts. |
|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (3) | Purchased      electric and purchased natural gas costs for Central Hudson are fully      recovered via their respective regulatory cost adjustment      mechanisms. |
|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (4) | Estimated      based on pricing on December 31,2009. |
|-----|------------------------------------------------------|

| (5) | The      estimated present value of CH Energy Group’s total contractual obligations      is $856 million, assuming a discount rate of  5.5%. |
|-----|----------------------------------------------------------------------------------------------------------------------------------------------------|

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| Projected Payments Due By      Period                 |   |                      |    |   |                 |   |    |                 |   |   |                |   |   |
|-------------------------------------------------------|--------|---------------------------|---------|--------|----------------------|--------|---------|----------------------|--------|--------|---------------------|--------|--------|
|                                                  |   |                      |    |   |                 |   |    |                 |   |   |                |   |   |   |   |
|                                                  |   | Less      than1      year |    |   | YearsEnding2011-2012 |   |    | YearsEnding2013-2014 |   |   | 2015      and After |   |   | Total |   |
| Long-Term      Debt(1)                                |   | $                         | 24,000  |   |                 | $      | 36,000  |                 |   | $      | 44,000              |   |   | $ | 333,950 |   |   | $ | 437,950 |   |
| Interest      Payments - Long-Term Debt(1)            |   |                      | 19,395  |   |                 |   | 35,454  |                 |   |   | 29,867              |   |   |   | 197,926 |   |   |   | 282,642 |   |
| Operating      Leases                                 |   |                      | 1,546   |   |                 |   | 3,013   |                 |   |   | 2,907               |   |   |   | 2,888 |   |   |   | 10,354 |   |
| Construction/Maintenance      & Other Projects(2) |   |                      | 52,022  |   |                 |   | 29,773  |                 |   |   | 7,587               |   |   |   | 3,784 |   |   |   | 93,166 |   |
| Purchased      Electric Contracts(3)                  |   |                      | 109,732 |   |                 |   | 40,355  |                 |   |   | 7,998               |   |   |   | 3,613 |   |   |   | 161,698 |   |
| Purchased      Natural Gas Contracts(3)               |   |                      | 55,369  |   |                 |   | 53,410  |                 |   |   | 22,624              |   |   |   | 49,599 |   |   |   | 181,002 |   |
| Total      Contractual Obligations(4)                 |   | $                         | 262,064 |   |                 | $      | 198,005 |                 |   | $      | 114,983             |   |   | $ | 591,760 |   |   | $ | 1,166,812 |   |

| (1) | Includes      fixed rate obligations and variable interest rate bonds with estimated      variable interest payments based on the actual interest paid in      2009. |
|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (2) | Including      Specific, Term, and Service Contracts, as defined in footnote (2) of the      preceding chart. |
|-----|---------------------------------------------------------------------------------------------------------------|

| (3) | Purchased      electric and purchased natural gas costs for Central Hudson are fully      recovered via their respective regulatory cost adjustment      mechanisms. |
|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (4) | The      estimated present value of Central Hudson’s total contractual obligations      is $763 million, assuming a discount rate of  5.5%. |
|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------|

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| Date                    |   | Amount      of Issuance |   | Term,      Rate      |   | Proceeds      Used for:                                                       |
|-------------------------|--------|-------------------------|--------|----------------------|--------|-------------------------------------------------------------------------------|
| March      23, 2007     |   | $33,000,000             |   | 30-year,      5.80%  |   | Redemption      at maturity of $33,000,000 5-year, 5.87% Series D Notes  |
| September      14, 2007 |   | $33,000,000             |   | 10-year,      6.028% |   | Financing      ongoing investments in electric and natural gas systems   |
| November      18, 2008  |   | $30,000,000             |   | 5-year,      6.854%  |   | Financing      ongoing investments in electric and natural gas systems   |
| September      30, 2009 |   | $24,000,000             |   | 30-year,      5.80%  |   | Financing      ongoing investments in electric and natural gas systems   |

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|                                                  |   | 2009   |   |   | 2008   |   |   | 2007   |   |
|-------------------------------------------------------|--------|--------|--------|--------|--------|--------|--------|--------|--------|
| Average      shares outstanding:                      |   |   |   |   |   |   |   |   |   |
| Basic                                                 |   |   | 15,775 |   |   |   | 15,768 |   |   |   | 15,762 |   |
| Diluted                                               |   |   | 15,881 |   |   |   | 15,805 |   |   |   | 15,779 |   |
|                                                  |   |   |   |   |   |   |   |   |   |   |   |   |
| Earnings      per share from continuing operations:   |   |   |   |   |   |   |   |   |   |   |   |   |
| Basic                                                 |   | $      | 2.13   |   |   | $      | 2.00   |   |   | $ | 2.61 |   |
| Diluted                                               |   | $      | 2.12   |   |   | $      | 2.00   |   |   | $ | 2.61 |   |
|                                                  |   |   |   |   |   |   |   |   |   |   |   |   |
| Earnings      per share from discontinued operations: |   |   |   |   |   |   |   |   |   |   |   |   |
| Basic                                                 |   | $      | 0.63   |   |   | $      | 0.22   |   |   | $ | 0.09 |   |
| Diluted                                               |   | $      | 0.62   |   |   | $      | 0.22   |   |   | $ | 0.09 |   |
|                                                  |   |   |   |   |   |   |   |   |   |   |   |   |
| Earnings      per share:                              |   |   |   |   |   |   |   |   |   |   |   |   |
| Basic                                                 |   | $      | 2.76   |   |   | $      | 2.22   |   |   | $ | 2.70 |   |
| Diluted                                               |   | $      | 2.74   |   |   | $      | 2.22   |   |   | $ | 2.70 |   |
|                                                  |   |   |   |   |   |   |   |   |   |   |   |   |
| Return      earned on common equity                   |   |   | 8.6    | %      |   |   | 6.6    | %      |   |   | 8.1 | % |

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| CH ENERGY GROUPCONSOLIDATED           |                         |       |   |   |       |   |   |
|---------------------------------------|------------------------------|------------|--------|--------|------------|--------|--------|
|                                  |                         |       |   |   |       |   |   |   |   |
| Earnings per Share (Basic)            |                         |       |
|                                  | Year      Ended December 31, |       |   |   |       |
|                                  |                         | 2009  |   |   | 2008  |   |   | Change |   |
| Central      Hudson - Electric        |                         | $          | 1.60   |   |       | $      | 1.33   |   |   | $ | 0.27 |   |
| Central      Hudson - Natural Gas     |                         |       | 0.42   |   |       |   | 0.34   |   |   |   | 0.08 |   |
| Griffith                              |                         |       | 0.76   |   |       |   | 0.26   |   |   |   | 0.50 |   |
| Other      Businesses and Investments |                         |       | (0.02  | )      |       |   | 0.29   |   |   |   | (0.31 | ) |
|                                  |                         | $          | 2.76   |   |       | $      | 2.22   |   |   | $ | 0.54 |   |

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|             |   | Year      Ended December 31, |   |   |   |   |
|------------------|--------|------------------------------|--------|--------|--------|--------|
|             |   | 2009                         |   |   | 2008   |   |   | Change |   |
| Electric         |   | $                            | 1.60   |   |   | $      | 1.33 |   |   | $ | 0.27 |   |
| Natural      Gas |   |                         | 0.42   |   |   |   | 0.34 |   |   |   | 0.08 |   |
|             |   | $                            | 2.02   |   |   | $      | 1.67 |   |   | $ | 0.35 |   |

| Regulatory      mechanisms and other events:                 |   |   |   |
|--------------------------------------------------------------|--------|--------|--------|
| Uncollectible      deferral - approved                       |   | $      | 0.02   |   |
| Uncollectible      deferral - pending approval               |   |   | 0.11   |   |
| Cable      attachment rents in 2008                          |   |   | (0.03  | ) |
| Rate      increases                                          |   |   | 0.66   |   |
| Revenue      decoupling mechanisms                           |   |   | 0.22   |   |
| Weather      normalized sales                                |   |   | (0.17  | ) |
| Weather      impact on sales (including hedging)             |   |   | (0.04  | ) |
| Higher      uncollectible accounts                           |   |   | (0.18  | ) |
| Higher      depreciation                                     |   |   | (0.15  | ) |
| Higher      property and other taxes                         |   |   | (0.07  | ) |
| Higher      interest expense and carrying charges            |   |   | (0.07  | ) |
| Higher      tree trimming and other distribution maintenance |   |   | (0.06  | ) |
| Lower      storm restoration expense                         |   |   | 0.09   |   |
| Other                                                        |   |   | 0.02   |   |
|                                                         |   | $      | 0.35   |   |

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|   |   | Year      Ended December 31, |   |   |       |   |
|--------|--------|------------------------------|--------|--------|------------|--------|
|   |   | 2009                    |   |   | 2008  |   |   | Change |   |
|        |   | $                            | 0.76   |   |       | $      | 0.26 |   |   | $ | 0.50 |   |

| Other      events:                                     |   |   |   |
|--------------------------------------------------------|--------|--------|--------|
| Gain      on the sale of Northeast operations(1)       |   | $      | 0.40   |   |
| Discontinued      operations                           |   |   | (0.04  | ) |
| Margin      on petroleum sales and services            |   |   | 0.02   |   |
| Weather      normalized sales (including conservation) |   |   | (0.21  | ) |
| Weather      impact on sales (including hedging)       |   |   | 0.11   |   |
| Operating      expenses                                |   |   | 0.11   |   |
| Lower      uncollectible accounts                      |   |   | 0.04   |   |
| Other                                                  |   |   | 0.07   |   |
|                                                   |   | $      | 0.50   |   |

| (1) | See      additional taxes owed by the holding company within Other Businesses &      Investments. |
|-----|-------------------------------------------------------------------------------------------------------|

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|   |   | Year      Ended December 31, |   |   |       |   |
|--------|--------|------------------------------|--------|--------|------------|--------|
|   |   | 2009                    |   |   | 2008  |   |   | Change |   |
|   |   | $                            | (0.02  | )      |       | $      | 0.29 |   |   | $ | (0.31 | ) |

| Other      events:                                            |   |   |   |
|---------------------------------------------------------------|--------|--------|--------|
| Holding      Company's income taxes on Griffith sale          |   | $      | (0.06  | ) |
| Buckeye      investment                                       |   |   | (0.05  | ) |
| Lyonsdale      investment                                     |   |   | (0.03  | ) |
| Holding      company interest expense                         |   |   | (0.07  | ) |
| Higher      other taxes                                       |   |   | (0.02  | ) |
| Higher      costs associated with pursuing future investments |   |   | (0.03  | ) |
| Other      operating assets and investments                   |   |   | (0.03  | ) |
| Other                                                         |   |   | (0.02  | ) |
|                                                          |   | $      | (0.31  | ) |

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| CH ENERGY GROUPCONSOLIDATED           |                         |   |   |   |   |   |   |
|---------------------------------------|------------------------------|--------|--------|--------|--------|--------|--------|
|                                  |                         |   |   |   |   |   |   |   |   |
| Earnings per Share (Basic)            |                         |   |   |   |   |   |   |   |   |
|                                  | Year      Ended December 31, |   |   |   |   |
|                                  |                         | 2008   |   |   | 2007   |   |   | Change |   |
| Central      Hudson - Electric        |                         | $      | 1.33   |   |   | $      | 1.66   |   |   | $ | (0.33 | ) |
| Central      Hudson - Natural Gas     |                         |   | 0.34   |   |   |   | 0.40   |   |   |   | (0.06 | ) |
| Griffith                              |                         |   | 0.26   |   |   |   | 0.20   |   |   |   | 0.06 |   |
| Other      Businesses and Investments |                         |   | 0.29   |   |   |   | 0.44   |   |   |   | (0.15 | ) |
|                                  |                         | $      | 2.22   |   |   | $      | 2.70   |   |   | $ | (0.48 | ) |

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|             |   | Year      Ended December 31, |   |   |   |   |
|------------------|--------|------------------------------|--------|--------|--------|--------|
|             |   | 2008                         |   |   | 2007   |   |   | Change |   |
| Electric         |   | $                            | 1.33   |   |   | $      | 1.66 |   |   | $ | (0.33 | ) |
| Natural      Gas |   |                         | 0.34   |   |   |   | 0.40 |   |   |   | (0.06 | ) |
| Total            |   | $                            | 1.67   |   |   | $      | 2.06 |   |   | $ | (0.39 | ) |

| Regulatory      mechanisms and other events:           |   |   |   |
|--------------------------------------------------------|--------|--------|--------|
| Shared      earnings recorded in 2007                  |   | $      | 0.04   |   |
| Gain      on non-utility property sales in 2007        |   |   | (0.02  | ) |
| Cable      attachment rents in 2008                    |   |   | 0.03   |   |
| Rate      increases                                    |   |   | 0.16   |   |
| Higher      storm restoration expense                  |   |   | (0.13  | ) |
| Higher      tree trimming                              |   |   | (0.08  | ) |
| Higher      depreciation                               |   |   | (0.09  | ) |
| Higher      interest expense and carrying charges      |   |   | (0.08  | ) |
| Higher      property and other taxes                   |   |   | (0.06  | ) |
| Higher      uncollectible accounts                     |   |   | (0.17  | ) |
| Weather      normalized sales (including conservation) |   |   | (0.01  | ) |
| Other                                                  |   |   | 0.02   |   |
|                                                   |   | $      | (0.39  | ) |

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|   |   | Year      Ended December 31, |   |   |       |   |
|--------|--------|------------------------------|--------|--------|------------|--------|
|   |   | 2008                    |   |   | 2007  |   |   | Change |   |
|        |   | $                            | 0.26   |   |       | $      | 0.20 |   |   | $ | 0.06 |   |

| Other      events:                                     |   |   |   |
|--------------------------------------------------------|--------|--------|--------|
| Discontinued      operations                           |   | $      | 0.11   |   |
| Margin      on petroleum sales and services            |   |   | 0.20   |   |
| Weather      normalized sales (including conservation) |   |   | (0.20  | ) |
| Higher      uncollectible accounts                     |   |   | (0.11  | ) |
| Operating      expenses                                |   |   | (0.03  | ) |
| Weather      impact on sales (including hedging)       |   |   | 0.08   |   |
| Other                                                  |   |   | 0.01   |   |
|                                                   |   | $      | 0.06   |   |

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|   |   | Year      Ended December 31, |   |   |       |   |
|--------|--------|------------------------------|--------|--------|------------|--------|
|   |   | 2008                    |   |   | 2007  |   |   | Change |   |
|   |   | $                            | 0.29   |   |       | $      | 0.44 |   |   | $ | (0.15 | ) |

| Cornhusker      Holdings                  |   | $      | (0.06 | )      |
|-------------------------------------------|--------|--------|-------|--------|
| Lyonsdale                                 |   |   | 0.03  |   |
| Lower      interest and investment income |   |   | (0.09 | )      |
| Other                                     |   |   | (0.03 | )      |
|                                      |   | $      | (0.15 | )      |

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| Income      Statement Variances                  |   |                          |     |   |    |   |
|--------------------------------------------------|--------|-------------------------------|----------|--------|---------|--------|
| (Dollars      In Thousands)                      |   |                          |     |   |    |   |
|                                             |   |                          |     |   |    |   |
|                                             |   | Year      Ended               |     |
|                                             |   | December      31, 2009        |     |
|                                             |   | Over/(Under)      same period |     |
|                                             |   | in      2008                  |     |
|                                             |   | Amount                        |     |   | Percent |   |
| Operating      Revenues                          |   | $                             | (87,400  | )      |    |   | (11.0 | )% |
|                                             |   |                          |     |   |    |   |   |   |
| Operating      Expenses:                         |   |                          |     |   |    |   |   |   |
| Purchased      electricity, fuel and natural gas |   |                          | (127,252 | )      |    |   | (25.7 | )% |
| Depreciation      and amortization               |   |                          | 2,282    |   |    |   | 7.7 | % |
| Other      operating expenses                    |   |                          | 28,576   |   |    |   | 13.9 | % |
| Total      Operating Expenses                    |   |                          | (96,394  | )      |    |   | (13.2 | )% |
| Operating      Income                            |   |                          | 8,994    |   |    |   | 13.4 | % |
| Other      Income, net                           |   |                          | (2,128   | )      |    |   | (46.3 | )% |
| Interest      Charges                            |   |                          | (541     | )      |    |   | (2.1 | )% |
| Income      before income taxes                  |   |                          | 7,407    |   |    |   | 15.9 | % |
| Income      Taxes                                |   |                          | 1,869    |   |    |   | 9.7 | % |
| Net      income                                  |   | $                             | 5,538    |   |    |   | 20.3 | % |

| Income      Statement Variances                  |   |                          |   |   |    |   |
|--------------------------------------------------|--------|-------------------------------|--------|--------|---------|--------|
| (Dollars      in Thousands)                      |   |                          |   |   |    |   |
|                                             |   |                          |   |   |    |   |
|                                             |   | Year      Ended               |   |
|                                             |   | December      31, 2008        |   |
|                                             |   | Over/(Under)      same period |   |
|                                             |   | in      2007                  |   |
|                                             |   | Amount                        |   |   | Percent |   |
| Operating      Revenues                          |   | $                             | 15,419 |   |    |   | 2.0 | % |
|                                             |   |                          |   |   |    |   |   |   |
| Operating      Expenses:                         |   |                          |   |   |    |   |   |   |
| Purchased      electricity, fuel and natural gas |   |                          | 1,547  |   |    |   | 0.3 | % |
| Depreciation      and Amortization               |   |                          | 1,413  |   |    |   | 5.0 | % |
| Other      operating expenses                    |   |                          | 16,521 |   |    |   | 8.8 | % |
| Total      operating expenses                    |   |                          | 19,481 |   |    |   | 2.7 | % |
| Operating      Income                            |   |                          | (4,062 | )      |    |   | (5.7 | )% |
| Other      income, net                           |   |                          | (670   | )      |    |   | (12.7 | )% |
| Interest      Charges                            |   |                          | 2,519  |   |    |   | 11.0 | % |
| Income      before income taxes                  |   |                          | (7,251 | )      |    |   | (13.5 | )% |
| Income      Taxes                                |   |                          | (1,053 | )      |    |   | (5.2 | )% |
| Net      (loss)/income                           |   | $                             | (6,198 | )      |    |   | (18.5 | )% |

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| Actual Deliveries            |   |                          |   |   |                          |   |   |     |   |   |             |   |
|------------------------------|--------|-------------------------------|--------|--------|-------------------------------|--------|--------|----------|--------|--------|------------------|--------|
|                         |   | Year      Ended               |   |   | Year      Ended               |   |
|                         |   | December      31, 2009        |   |   | December      31, 2008        |   |
|                         |   | Increase/(Decrease)      from |   |   | Increase/(Decrease)      from |   |
|                         |   | same      period in 2008      |   |   | same      period in 2007      |   |
|                         |   | Electric                      |   |   | Natural      Gas              |   |   | Electric |   |   | Natural      Gas |   |
| Residential                  |   |                          | (3     | )%     |                          |   | (1     | )%       |   |   | (2               | )%     |   |   | 0 | % |
| Commercial                   |   |                          | (4     | )%     |                          |   | 1      | %        |   |   | (2               | )%     |   |   | (1 | )% |
| Industrial      and other(1) |   |                          | (10    | )%     |                          |   | (16    | )%       |   |   | (7               | )%     |   |   | (1 | )% |
| Total      Deliveries        |   |                          | (5     | )%     |                          |   | (3     | )%       |   |   | (3               | )%     |   |   | (1 | )% |

| (1) | Includes      interruptible natural gasdeliveries. |
|-----|----------------------------------------------------|

| Weather Normalized    Deliveries |   |                          |   |   |                          |   |   |     |   |   |
|----------------------------------|--------|-------------------------------|--------|--------|-------------------------------|--------|--------|----------|--------|--------|
|                             |   | Year      Ended               |   |   | Year      Ended               |   |
|                             |   | December      31, 2009        |   |   | December      31, 2008        |   |
|                             |   | Increase/(Decrease)      from |   |   | Increase/(Decrease)      from |   |
|                             |   | same      period in 2008      |   |   | same      period in 2007      |   |
|                             |   | Electric                      |   |   | Natural      Gas              |   |   | Electric |   |   | Natural      Gas |   |
| Residential                      |   |                          | (2     | )%     |                          |   | (1     | )%       |   |   | 0 | % |   |   | (3 | )% |
| Commercial                       |   |                          | (3     | )%     |                          |   | 0      | %        |   |   | (2 | )% |   |   | (2 | )% |
| Industrial      and other (2)    |   |                          | (10    | )%     |                          |   | (16    | )%       |   |   | (7 | )% |   |   | (5 | )% |
| Total      Deliveries            |   |                          | (4     | )%     |                          |   | (3     | )%       |   |   | (2 | )% |   |   | (3 | )% |

| (2) | Excludes      interruptible natural gasdeliveries. |
|-----|----------------------------------------------------|

| Note: | Central      Hudson uses an internal analysis based on historical weather data to      remove the estimated impacts of weather on delivery      volumes. |
|-------|----------------------------------------------------------------------------------------------------------------------------------------------------------|

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| Change in Central Hudson      Revenues          |   |                                              |     |   |             |   |    |   |   |
|-------------------------------------------------|--------|---------------------------------------------------|----------|--------|------------------|--------|---------|--------|--------|
| (In      Thousands)                             |   |                                              |     |   |             |   |    |   |   |
|                                            |   | Year      Ended December 31, 2009                 |     |
|                                            |   | Increase/(Decrease)      from same period in 2008 |     |
|                                            |   | Electric                                          |     |   | Natural      Gas |   |    | Total  |   |
| Revenues      with Matching Expense Offsets:(1) |   |                                              |     |   |             |   |    |   |   |
| Energy      cost adjustment                     |   | $                                                 | (104,345 | )      |             | $      | (19,496 | )      |   | $ | (123,841 | ) |
| Sales      to others for resale                 |   |                                              | (479     | )      |             |   | (3,890  | )      |   |   | (4,369 | ) |
| Other      revenues with matching offsets       |   |                                              | 20,791   |   |             |   | 3,055   |   |   |   | 23,846 |   |
| Subtotal                                        |   |                                              | (84,033  | )      |             |   | (20,331 | )      |   |   | (104,364 | ) |
|                                            |   |                                              |     |   |             |   |    |   |   |   |   |   |
| Revenues      Impacting Earnings:               |   |                                              |     |   |             |   |    |   |   |   |   |   |
| Customer      sales                             |   |                                              | 7,761    |   |             |   | 3,374   |   |   |   | 11,135 |   |
| RDM      and other regulatory mechanisms        |   |                                              | 4,711    |   |             |   | 224     |   |   |   | 4,935 |   |
| Finance      charges                            |   |                                              | 8        |   |             |   | 183     |   |   |   | 191 |   |
| Weather-hedging      contracts                  |   |                                              | 57       |   |             |   | 113     |   |   |   | 170 |   |
| Other      revenues                             |   |                                              | (495     | )      |             |   | 1,028   |   |   |   | 533 |   |
| Subtotal                                        |   |                                              | 12,042   |   |             |   | 4,922   |   |   |   | 16,964 |   |
|                                            |   |                                              |     |   |             |   |    |   |   |   |   |   |
| Total      Decrease in Revenues                 |   | $                                                 | (71,991  | )      |             | $      | (15,409 | )      |   | $ | (87,400 | ) |

| (1) | Revenues      with matching offsets do not affect earnings since they offset related      costs, the most significant being energy cost adjustment revenues, which      provide for the recovery of purchased electricity and natural gas      costs.  Other related costs are pensions, OPEB, and the cost of      special programs authorized by the PSC, which are funded with certain      available credits.  Changes in revenues from electric sales to      other utilities also do not affect earnings since any related profits or      losses are returned or charged, respectively, to customers.  For      natural gas sales to other entities for resale, 85% of such profits are      returned to customers. |
|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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| Change in Central Hudson      Revenues     |   |                                              |    |   |             |   |   |   |   |
|--------------------------------------------|--------|---------------------------------------------------|---------|--------|------------------|--------|--------|--------|--------|
| (In      Thousands)                        |   |                                              |    |   |             |   |   |   |   |
|                                       |   | Year      Ended December 31, 2008                 |    |
|                                       |   | Increase/(Decrease)      from same period in 2007 |    |
|                                       |   | Electric                                          |    |   | Natural      Gas |   |   | Total  |   |
| Revenues      with Matching Offsets:(1)    |   |                                              |    |   |             |   |   |   |   |
| Energy      cost adjustment                |   | $                                                 | (15,903 | )      |             | $      | 7,594  |   |   | $ | (8,309 | ) |
| Sales      to others for resale            |   |                                              | (2,076  | )      |             |   | 12,298 |   |   |   | 10,222 |   |
| Pension,      OPEB and other revenues      |   |                                              | 3,763   |   |             |   | 3,260  |   |   |   | 7,023 |   |
| Subtotal                                   |   |                                              | (14,216 | )      |             |   | 23,152 |   |   |   | 8,936 |   |
|                                       |   |                                              |    |   |             |   |   |   |   |   |   |   |
| Revenues      Impacting Earnings:          |   |                                              |    |   |             |   |   |   |   |   |   |   |
| Customer      sales                        |   |                                              | 619     |   |             |   | 921    |   |   |   | 1,540 |   |
| Other      regulatory mechanisms           |   |                                              | 2,481   |   |             |   | 673    |   |   |   | 3,154 |   |
| Pole      attachments and other rents      |   |                                              | 1,022   |   |             |   | -      |   |   |   | 1,022 |   |
| Finance      charges                       |   |                                              | 764     |   |             |   | 210    |   |   |   | 974 |   |
| Other      revenues                        |   |                                              | 652     |   |             |   | (859   | )      |   |   | (207 | ) |
| Subtotal                                   |   |                                              | 5,538   |   |             |   | 945    |   |   |   | 6,483 |   |
|                                       |   |                                              |    |   |             |   |   |   |   |   |   |   |
| Total      (Decrease)/Increase in Revenues |   | $                                                 | (8,678  | )      |             | $      | 24,097 |   |   | $ | 15,419 |   |

| (1) | Revenues      with matching offsets do not affect earnings since they offset related      costs, the most significant being energy cost adjustment revenues, which      provide for the recovery of purchased electricity and natural gas      costs.  Other related costs are pensions, OPEB, and the cost of      special programs authorized by the PSC, which are funded with certain      available credits.  Changes in revenues from electric sales to      other utilities also do not affect earnings since any related profits or      losses are returned or charged, respectively, to customers.  For      natural gas sales to other entities for resale, 85% of such profits are      returned to customers. |
|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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| Change in Central Hudson Operating      Expenses          |   |                            |     |   |
|-----------------------------------------------------------|--------|---------------------------------|----------|--------|
| (In      Thousands)                                       |   |                            |     |   |   |   |
|                                                      |   | Year      Ended                 |     |   | Year      Ended |   |
|                                                      |   | December      31, 2009          |     |   | December      31, 2008 |   |
|                                                      |   | Increase      / (Decrease) from |     |   | Increase      / (Decrease) from |   |
|                                                      |   | same      period in 2008        |     |   | same      period in 2007 |   |
| Expenses      Currently Matched to Revenues:(1)           |   |                            |     |   |   |   |
| Purchased      electricity                                |   | $                               | (104,824 | )      |   | $ | (17,979 | ) |
| Purchased      natural gas                                |   |                            | (23,386  | )      |   |   | 19,892 |   |
| Pension                                                   |   |                            | 7,763    |   |   |   | (320 | ) |
| OPEB                                                      |   |                            | (1,528   | )      |   |   | (253 | ) |
| NYS      energy programs                                  |   |                            | 8,568    |   |   |   | 3,118 |   |
| MGP      site remediations                                |   |                            | 539      |   |   |   | 825 |   |
| PSC      tax surcharge                                    |   |                            | 7,115    |   |   |   | - |   |
| Residual      gas deferred balances                       |   |                            | 242      |   |   |   | 2,791 |   |
| Other      matched expenses                               |   |                            | 1,080    |   |   |   | 718 |   |
| Subtotal                                                  |   |                            | (104,431 | )      |   |   | 8,792 |   |
|                                                      |   |                            |     |   |   |   |   |   |
| Other      Expense Variations:                            |   |                            |     |   |   |   |   |   |
| Tree      trimming                                        |   |                            | 849      |   |   |   | 2,131 |   |
| Uncollectible      expense                                |   |                            | 4,268    |   |   |   | 3,042 |   |
| Uncollectible      deferrals                              |   |                            | (3,327   | )      |   |   | - |   |
| Purchased      natural gas incentive arrangements         |   |                            | 958      |   |   |   | (366 | ) |
| Storm      restoration expenses(2)                        |   |                            | (2,467   | )      |   |   | 3,270 |   |
| Property      taxes                                       |   |                            | 1,518    |   |   |   | 1,044 |   |
| Depreciation                                              |   |                            | 2,283    |   |   |   | 1,413 |   |
| Interest      and carrying charges                        |   |                            | 1,102    |   |   |   | 1,259 |   |
| Other      expenses                                       |   |                            | 2,853    |   |   |   | (1,104 | ) |
| Subtotal                                                  |   |                            | 8,037    |   |   |   | 10,689 |   |
|                                                      |   |                            |     |   |   |   |   |   |
| Total      (Decrease)/Increase in Operating      Expenses |   | $                               | (96,394  | )      |   | $ | 19,481 |   |

| (1) | Includes      expenses that, in accordance with the 2006 Rate Order and the 2009 Rate      Order, are adjusted in the current period to equal the revenues earned for      the applicable expenses. |
|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (2) | Does      not include $3.1 million in incremental costs related to the December 2008      ice storm deferred for future recovery from customers.  See      further discussion below. |
|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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|                                        |   |   |    |   |   |   |    |   |   |
|---------------------------------------------|--------|--------|---------|--------|--------|--------|---------|--------|--------|
|                                        |   | 2009   |    |   | 2008   |   |    | 2007   |   |
| Long-Term      Debt:                        |   |   |    |   |   |   |    |   |   |
| Debt      retired                           |   | $      | 20,000  |   |   | $      | -       |   |   | $ | 33,000 |   |
| Debt      issued                            |   | $      | 24,000  |   |   | $      | 30,000  |   |   | $ | 66,000 |   |
| Outstanding      at year end:               |   |   |    |   |   |   |    |   |   |   |   |   |
| Amount      (including current portion)     |   | $      | 437,897 |   |   | $      | 433,894 |   |   | $ | 403,892 |   |
| Weighted      average interest rate         |   |   | 4.78    | %      |   |   | 5.43    | %      |   |   | 5.49 | % |
| Short-Term      Debt:                       |   |   |    |   |   |   |    |   |   |   |   |   |
| Average      daily amount outstanding       |   | $      | 21,962  |   |   | $      | 32,304  |   |   | $ | 32,501 |   |
| Weighted      average interest rate         |   |   | 0.98    | %      |   |   | 3.00    | %      |   |   | 5.37 | % |
| Overall      weighted average interest rate |   |   | 4.39    | %      |   |   | 5.26    | %      |   |   | 5.48 | % |

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| Income      Statement Variances                                                                        |   |                          |     |   |    |   |
|--------------------------------------------------------------------------------------------------------|--------|-------------------------------|----------|--------|---------|--------|
| (Dollars      In Thousands)                                                                            |   |                          |     |   |    |   |
|                                                                                                   |   | Year      Ended               |     |
|                                                                                                   |   | December      31, 2009        |     |
|                                                                                                   |   | Over/(Under)      same period |     |
|                                                                                                   |   | in      2008                  |     |
|                                                                                                   |   | Amount                        |     |   | Percent |   |
| Operating      Revenues                                                                                |   | $                             | (207,612 | )      |    |   | (18.2 | )% |
| Operating      Expenses:                                                                               |   |                          |     |   |    |   |   |   |
| Purchased      electricity, fuel, natural gas and petroleum                                            |   |                          | (245,496 | )      |    |   | (31.9 | )% |
| Depreciation      and amortization                                                                     |   |                          | 2,445    |   |    |   | 6.9 | % |
| Other      operating expenses                                                                          |   |                          | 25,992   |   |    |   | 9.9 | % |
| Total      Operating Expenses                                                                          |   |                          | (217,059 | )      |    |   | (20.3 | )% |
| Operating      Income                                                                                  |   |                          | 9,447    |   |    |   | 13.2 | % |
| Other      Income, net                                                                                 |   |                          | (5,047   | )      |    |   | (95.9 | )% |
| Interest      Charges                                                                                  |   |                          | 1,504    |   |    |   | 6.2 | % |
| Income      before income taxes, non-controlling interest and preferred dividends of      subsidiaries |   |                          | 2,896    |   |    |   | 5.5 | % |
| Income      Taxes                                                                                      |   |                          | 1,078    |   |    |   | 5.5 | % |
| Net      income from continuing operations                                                             |   |                          | 1,818    |   |    |   | 5.5 | % |
| Net      income from discontinued operations, net of tax                                               |   |                          | 6,306    |   |    |   | 183.5 | % |
| Net      loss attributable to non-controlling interest                                                 |   |                          | (279     | )      |    |   | (26.0 | )% |
| Net      income attributable to CH Energy Group                                                        |   | $                             | 8,403    |   |    |   | 24.0 | % |

| Income      Statement Variances                                                                        |   |                          |    |   |    |   |
|--------------------------------------------------------------------------------------------------------|--------|-------------------------------|---------|--------|---------|--------|
| (Dollars      in Thousands)                                                                            |   |                          |    |   |    |   |
|                                                                                                   |   | Year      Ended               |    |
|                                                                                                   |   | December      31, 2008        |    |
|                                                                                                   |   | Over/(Under)      same period |    |
|                                                                                                   |   | in      2007                  |    |
|                                                                                                   |   | Amount                        |    |   | Percent |   |
| Operating      Revenues                                                                                |   | $                             | 60,434  |   |    |   | 5.6 | % |
| Operating      Expenses:                                                                               |   |                          |    |   |    |   |   |   |
| Purchased      electricity, fuel, natural gas and petroleum                                            |   |                          | 42,121  |   |    |   | 5.8 | % |
| Depreciation      and Amortization                                                                     |   |                          | 1,356   |   |    |   | 4.0 | % |
| Other      operating expenses                                                                          |   |                          | 21,664  |   |    |   | 9.0 | % |
| Total      Operating Expenses                                                                          |   |                          | 65,141  |   |    |   | 6.5 | % |
| Operating      Income                                                                                  |   |                          | (4,707  | )      |    |   | (6.2 | )% |
| Other      Income, net                                                                                 |   |                          | (3,759  | )      |    |   | (41.7 | )% |
| Interest      Charges                                                                                  |   |                          | 2,575   |   |    |   | 11.9 | % |
| Income      before income taxes, non-controlling interest and preferred dividends of      subsidiaries |   |                          | (11,041 | )      |    |   | (17.5 | )% |
| Income      Taxes                                                                                      |   |                          | (1,646  | )      |    |   | (7.9 | )% |
| Net      loss from continuing operations                                                               |   |                          | (9,395  | )      |    |   | (22.4 | )% |
| Net      income from discontinued operations, net of tax                                               |   |                          | 2,064   |   |    |   | 139.4 | % |
| Net      income attributable to non-controlling interest                                               |   |                          | 224     |   |    |   | 26.4 | % |
| Net      income attributable to CH Energy Group                                                        |   | $                             | (7,555  | )      |    |   | (17.6 | )% |

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| Actual Deliveries            |   |                                       |   |   |                                  |   |   |                                       |   |   |                                  |   |
|------------------------------|--------|--------------------------------------------|--------|--------|---------------------------------------|--------|--------|--------------------------------------------|--------|--------|---------------------------------------|--------|
|                         |   |                                       |   |   |                                  |   |   |                                       |   |   |                                  |   |
|                         |   | Year      Ended                            |   |   | Year      Ended                       |   |
|                         |   | December      31, 2009                     |   |   | December      31, 2008                |   |
|                         |   | %      Changefrom      same period in 2008 |   |   | 2009Volumes      as % of Total Volume |   |   | %      Changefrom      same period in 2007 |   |   | 2008Volumes      as % of Total Volume |   |
| Heating      Oil             |   |                                       |   |   |                                  |   |   |                                       |   |   |                                  |   |
| Retained      company volume |   |                                       | -      | %      |                                  |   | 29     | %                                          |   |   | (9                                    | )%     |   |   | 25 | % |
| Divested      volume         |   |                                       | (7     | )%     |                                  |   | 24     | %                                          |   |   | 11                                    | %      |   |   | 25 | % |
| Total      Heating Oil       |   |                                       | (7     | )%     |                                  |   | 53     | %                                          |   |   | 2                                     | %      |   |   | 50 | % |
|                         |   |                                       |   |   |                                  |   |   |                                       |   |   |                                  |   |   |   |   |   |
| Motor      Fuels             |   |                                       |   |   |                                  |   |   |                                       |   |   |                                  |   |   |   |   |   |
| Retained      company volume |   |                                       | (15    | )%     |                                  |   | 34     | %                                          |   |   | (9                                    | )%     |   |   | 38 | % |
| Divested      volume         |   |                                       | (5     | )%     |                                  |   | 9      | %                                          |   |   | 7                                     | %      |   |   | 10 | % |
| Total      Motor Fuels       |   |                                       | (20    | )%     |                                  |   | 43     | %                                          |   |   | (2                                    | )%     |   |   | 48 | % |
|                         |   |                                       |   |   |                                  |   |   |                                       |   |   |                                  |   |   |   |   |   |
| Propane      and Other       |   |                                       |   |   |                                  |   |   |                                       |   |   |                                  |   |   |   |   |   |
| Retained      company volume |   |                                       | 50     | %      |                                  |   | 2      | %                                          |   |   | (3                                    | )%     |   |   | 1 | % |
| Divested      volume         |   |                                       | 14     | %      |                                  |   | 2      | %                                          |   |   | 12                                    | %      |   |   | 1 | % |
| Total      Propane and Other |   |                                       | 64     | %      |                                  |   | 4      | %                                          |   |   | 9                                     | %      |   |   | 2 | % |
|                         |   |                                       |   |   |                                  |   |   |                                       |   |   |                                  |   |   |   |   |   |
| Total                        |   |                                       |   |   |                                  |   |   |                                       |   |   |                                  |   |   |   |   |   |
| Retained      company volume |   |                                       | (6     | )%     |                                  |   | 65     | %                                          |   |   | (9                                    | )%     |   |   | 64 | % |
| Divested      volume         |   |                                       | (6     | )%     |                                  |   | 35     | %                                          |   |   | 9                                     | %      |   |   | 36 | % |
| Total                        |   |                                       | (12    | )%     |                                  |   | 100    | %                                          |   |   | -                                     | %      |   |   | 100 | % |
|                         |   |                                       |   |   |                                  |   |   |                                       |   |   |                                  |   |   |   |   |   |

| Note      1: | For      the purposes of this chart, acquisitions made in 2008 and 2009 are      included in either Retained company volume or Divested volume depending      upon whether the acquisition was retained or  divested. |
|--------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| Note      2: | For      the purposes of this chart, acquisitions made in 2007 and 2008 are      included in either Retained company volume or Divested volume depending      upon whether the acquisition was retained or  divested. |
|--------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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| Weather Normalized    Deliveries |   |                                       |   |   |                                        |   |   |                                       |   |   |
|----------------------------------|--------|--------------------------------------------|--------|--------|---------------------------------------------|--------|--------|--------------------------------------------|--------|--------|
|                             |   |                                       |   |   |                                        |   |   |                                       |   |   |   |   |
|                             |   | Year      Ended                            |   |   | Year      Ended                             |   |
|                             |   | December      31, 2009                     |   |   | December      31, 2008                      |   |
|                             |   | %      Changefrom      same period in 2008 |   |   | 2009      Volumes      as % of Total Volume |   |   | %      Changefrom      same period in 2007 |   |   | 2008      Volumes      as % of Total Volume |   |
| Heating      Oil                 |   |                                       |   |   |                                        |   |   |                                       |   |   |   |   |
| Retained      company volume     |   |                                       | (4     | )%     |                                        |   | 28     | %                                          |   |   | (8 | )% |   |   | 25 | % |
| Divested      volume             |   |                                       | (9     | )%     |                                        |   | 24     | %                                          |   |   | 12 | % |   |   | 25 | % |
| Total      Heating Oil           |   |                                       | (13    | )%     |                                        |   | 52     | %                                          |   |   | 4 | % |   |   | 50 | % |
|                             |   |                                       |   |   |                                        |   |   |                                       |   |   |   |   |   |   | . |   |
| Motor      Fuels                 |   |                                       |   |   |                                        |   |   |                                       |   |   |   |   |   |   |   |   |
| Retained      company volume     |   |                                       | (15    | )%     |                                        |   | 35     | %                                          |   |   | (9 | )% |   |   | 38 | % |
| Divested      volume             |   |                                       | (5     | )%     |                                        |   | 9      | %                                          |   |   | 7 | % |   |   | 10 | % |
| Total      Motor Fuels           |   |                                       | (20    | )%     |                                        |   | 44     | %                                          |   |   | (2 | )% |   |   | 48 | % |
|                             |   |                                       |   |   |                                        |   |   |                                       |   |   |   |   |   |   |   |   |
| Propane      and Other           |   |                                       |   |   |                                        |   |   |                                       |   |   |   |   |   |   |   |   |
| Retained      company volume     |   |                                       | 46     | %      |                                        |   | 2      | %                                          |   |   | (3 | )% |   |   | 1 | % |
| Divested      volume             |   |                                       | 10     | %      |                                        |   | 2      | %                                          |   |   | 13 | % |   |   | 1 | % |
| Total      Propane and Other     |   |                                       | 56     | %      |                                        |   | 4      | %                                          |   |   | 10 | % |   |   | 2 | % |
|                             |   |                                       |   |   |                                        |   |   |                                       |   |   |   |   |   |   |   |   |
| Total                            |   |                                       |   |   |                                        |   |   |                                       |   |   |   |   |   |   |   |   |
| Retained      company volume     |   |                                       | (8     | )%     |                                        |   | 65     | %                                          |   |   | (8 | )% |   |   | 64 | % |
| Divested      volume             |   |                                       | (7     | )%     |                                        |   | 35     | %                                          |   |   | 10 | % |   |   | 36 | % |
| Total                            |   |                                       | (15    | )%     |                                        |   | 100    | %                                          |   |   | 2 | % |   |   | 100 | % |

| Note      1: | Due      to a warming trend in actual weather over the past 30 years, Griffith has      developed a trend normal weather value.  This trend analysis has      resulted in approximately 670 and 150 less heating degree-days as compared      to a standard 30-year average for Griffith's customers in the Northeast      and Mid-Atlantic regions, respectively.  The above chart of      weather normalized deliveries was determined using Griffith's trend normal      weather value. |
|--------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| Note      2: | For      the purposes of this chart, acquisitions made in 2008 and 2009 are      included in either Retained company volume or Divested volume depending      upon whether the acquisition was retained or  divested. |
|--------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| Note      3: | For      the purposes of this chart, acquisitions made in 2007 and 2008 are      included in either Retained company volume or Divested volume depending      upon whether the acquisition was retained or  divested. |
|--------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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| Revenues                         |   |                                                |     |   |                                                |   |
|----------------------------------|--------|-----------------------------------------------------|----------|--------|-----------------------------------------------------|--------|
|                             |   |                                                |     |   |                                                |   |
| Change in Griffith      Revenues |   |                                                |     |   |                                                |   |
| (In      Thousands)              |   |                                                |     |   |                                                |   |
|                             |   | Year      Ended                                     |     |   | Year      Ended                                     |   |
|                             |   | December      31, 2009                              |     |   | December      31, 2008                              |   |
|                             |   | Increase      / (Decrease) from same period in 2008 |     |   | Increase      / (Decrease) from same period in 2007 |   |
| Heating      Oil                 |   |                                                |     |   |                                                |   |
| Retained      company            |   | $                                                   | (33,162  | )      |                                                | $      | 9,848 |   |
| Divested      Revenue            |   |                                                | (44,569  | )      |                                                |   | 43,134 |   |
| Total      Heating Oil           |   | $                                                   | (77,731  | )      |                                                | $      | 52,982 |   |
| Motor      Fuels                 |   |                                                |     |   |                                                |   |   |   |
| Retained      company            |   | $                                                   | (85,439  | )      |                                                | $      | 31,032 |   |
| Divested      Revenue            |   |                                                | (24,408  | )      |                                                |   | 24,719 |   |
| Total      Motor Fuels           |   | $                                                   | (109,847 | )      |                                                | $      | 55,751 |   |
| Other                            |   |                                                |     |   |                                                |   |   |   |
| Retained      company            |   | $                                                   | (343     | )      |                                                | $      | 527 |   |
| Divested      Revenue            |   |                                                | (1,270   | )      |                                                |   | 992 |   |
| Total      Propane               |   | $                                                   | (1,613   | )      |                                                | $      | 1,519 |   |
| Service      Revenues            |   |                                                |     |   |                                                |   |   |   |
| Retained      company            |   | $                                                   | 427      |   |                                                | $      | (697 | ) |
| Divested      Revenue            |   |                                                | (653     | )      |                                                |   | 6,557 |   |
| Total      Service Revenues      |   | $                                                   | (226     | )      |                                                | $      | 5,860 |   |
|                             |   |                                                |     |   |                                                |   |   |   |
| Other                            |   |                                                |     |   |                                                |   |   |   |
| Weather-hedging      contracts   |   | $                                                   | (247     | )      |                                                | $      | 938 |   |
| Retained      - Other            |   |                                                | (211     | )      |                                                |   | 796 |   |
| Other      - Divestiture         |   |                                                | (75      | )      |                                                |   | 256 |   |
| Total      Other                 |   | $                                                   | (533     | )      |                                                | $      | 1,990 |   |
|                             |   |                                                |     |   |                                                |   |   |   |
| Total      Revenues              |   | $                                                   | (189,950 | )      |                                                | $      | 118,102 |   |

| Note      1: | For      the purposes of this chart, acquisitions made in 2008 and 2009 are      included in either Retained company revenue or Divested revenue depending      upon whether the acquisition was retained or  divested. |
|--------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| Note      2: | For      the purposes of this chart, acquisitions made in 2007 and 2008 are      included in either Retained company revenue or Divested revenue depending      upon whether the acquisition was retained or  divested. |
|--------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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|             |   | 2009   |   |   | 2008   |   |
|------------------|--------|--------|--------|--------|--------|--------|
|             |   | High   |   |   | Low    |   |   | Dividend |   |   | High |   |   | Low |   |   | Dividend |   |
| 1st      Quarter |   | $      | 52.66  |   |   | $      | 37.68 |   |   | $ | 0.54 |   |   | $ | 45.38 |   |   | $ | 34.53 |   |   | $ | 0.54 |   |
| 2nd      Quarter |   |   | 48.16  |   |   |   | 40.60 |   |   |   | 0.54 |   |   |   | 40.73 |   |   |   | 34.25 |   |   |   | 0.54 |   |
| 3rd      Quarter |   |   | 51.32  |   |   |   | 43.67 |   |   |   | 0.54 |   |   |   | 48.92 |   |   |   | 34.00 |   |   |   | 0.54 |   |
| 4th      Quarter |   |   | 45.57  |   |   |   | 39.54 |   |   |   | 0.54 |   |   |   | 52.36 |   |   |   | 33.39 |   |   |   | 0.54 |   |

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| Calendar      Year Performance      |   | 2009   |   |   | 2008   |   |   | 2007 |   |
|-------------------------------------|--------|--------|--------|--------|--------|--------|--------|------|--------|
| Central      Hudson Retirement Plan |   |   | 21.2   | %      |   |   | (30.0  | )%   |   |   | 6.9 | % |
| Central      Hudson OPEB (1)        |   |   | 27.9   | %      |   |   | (26.4  | )%   |   |   | 5.0 | % |
| Central      Hudson OPEB (1)        |   |   | 24.6   | %      |   |   | (25.0  | )%   |   |   | 4.1 | % |

| (1) | OPEB      assets are comprised of two separate groups of investment      funds |
|-----|--------------------------------------------------------------------------------|

|                                                                  |   | One      PercentagePoint      Increase |   |   | One      PercentagePoint      Decrease |   |
|-----------------------------------------------------------------------|--------|----------------------------------------|--------|--------|----------------------------------------|--------|
| Effect      on total of service and interest cost components for 2009 |   | $                                      | 447    |   |                                   | $      | (385 | ) |
|                                                                  |   |                                   |   |   |                                   |   |   |   |
| Effect      on year-end 2009 post-retirement benefit obligation       |   | $                                      | 4,217  |   |                                   | $      | (3,722 | ) |

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| ITEM 7A      - | QUANTITATIVE AND      QUALITATIVE DISCLOSURE ABOUT MARKETRISK |
|----------------|---------------------------------------------------------------|

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| ITEM 8      - | FINANCIAL STATEMENTS      AND SUPPLEMENTARY DATA |
|---------------|--------------------------------------------------|

| I      - INDEX TO FINANCIAL STATEMENTS: | PAGE                                            |
|-----------------------------------------|-------------------------------------------------|
|                                    |                                            |
|                                    |                                            | Report of Independent Registered Public Accounting      Firm | 107 |
|                                    |                                            | Report of Management on Internal Control Over Financial      Reporting | 111 |
|                                    |                                            |   |   |
|                                    | CH ENERGY GROUP                                 |   |
|                                    |                                            | CH Energy Group Consolidated Statement of Income for the three      years ended December 31, 2009 | 115 |
|                                    |                                            | CH Energy Group Consolidated Statement of Comprehensive Income      for the three years ended December 31, 2009 | 117 |
|                                    |                                            | CH Energy Group Consolidated Statement of Cash Flows for the      three years ended December 31, 2009 | 118 |
|                                    |                                            | CH Energy Group Consolidated Balance Sheet at December 31,      2009, and 2008 | 119 |
|                                    |                                            | CH Energy Group Consolidated Statement of Equity for the three      years ended December 31, 2009 | 121 |
|                                    |                                            |   |   |
|                                    | CENTRAL HUDSON                                  |   |
|                                    |                                            | Central Hudson Statement of Income for the three years ended      December 31, 2009 | 122 |
|                                    |                                            | Central Hudson Statement of Comprehensive Income for the three      years ended December 31, 2009 | 123 |
|                                    |                                            | Central Hudson Statement of Cash Flows for the three years      ended December 31, 2009 | 124 |
|                                    |                                            | Central Hudson Balance Sheet at December 31, 2009, and      2008 | 125 |
|                                    |                                            | Central Hudson Statement of Equity for the three years ended      December 31, 2009 | 127 |
|                                    |                                            |   |   |   |
|                                    | NOTES TO CONSOLIDATED FINANCIAL      STATEMENTS |   |
|                                    |                                            | NOTE 1 | Summary of Significant Accounting    Policies | 128 |
|                                    |                                            | NOTE 2 | Regulatory Matters | 139 |
|                                    |                                            | NOTE 3 | New Accounting Guidance | 147 |
|                                    |                                            | NOTE 4 | Income Tax | 151 |
|                                    |                                            | NOTE 5 | Acquisitions, Divestitures and    Investments | 155 |
|                                    |                                            | NOTE 6 | Goodwill and Other Intangible Assets | 158 |
|                                    |                                            | NOTE 7 | Short-Term Borrowing Arrangements | 160 |
|                                    |                                            | NOTE 8 | Capitalization - Common and Preferred    Stock | 162 |
|                                    |                                            | NOTE 9 | Capitalization - Long-Term Debt | 163 |
|                                    |                                            | NOTE 10 | Post-Employment Benefits | 167 |
|                                    |                                            | NOTE 11 | Equity-Based Compensation | 180 |

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|   |                             | NOTE 12                                                         | Commitments And Contingencies                                     | 185    |
|--------|----------------------------------|-----------------------------------------------------------------|-------------------------------------------------------------------|--------|
|   |                             | NOTE 13                                                         | Segments And Related Information                                  | 195    |
|   |                             | NOTE 14                                                         | Accounting for Derivative Instruments and Hedging      Activities | 199    |
|   |                             | NOTE 15                                                         | Fair Value Measurements                                           | 207    |
|   |                             | NOTE 16                                                         | Subsequent Events                                                 | 213    |
|   |                             | Selected Quarterly Financial Data    (Unaudited)                | 214                                                               |
|   |                             |                                                            |                                                              |   |
|   | FINANCIAL STATEMENT    SCHEDULES |                                                            |
|   |                             | Schedule I - Condensed Financial Information of      Registrant | 215                                                               |
|   |                             | Schedule II - Reserves - CH EnergyGroup                         | 219                                                               |
|   |                             | Schedule II - Reserves - Central Hudson                         | 219                                                               |

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REPORT OF INDEPENDENT 

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ENERGY GROUP

|   | · | pertain      to the maintenance of records that, in reasonable detail, accurately and      fairly reflect the transactions and dispositions of the assets of the      Corporation; |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | provide      reasonable assurance that transactions are recorded as necessary to permit      preparation of financial statements in accordance with accounting      principles generally accepted in the United States of America and that      receipts and expenditures of the Corporation are being made only in      accordance with authorization of Management and directors of the      Corporation; and |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | provide      reasonable assurance regarding prevention or timely detection of      unauthorized acquisition, use or disposition of assets that could have a      material effect on the consolidated financial  statements. |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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| STEVEN      V. LANT          | CHRISTOPHER      M. CAPONE       |
|------------------------------|----------------------------------|
| Chairman      of the Board,  | Executive      Vice President    |
| President,      and          | and      Chief Financial Officer |
| Chief      Executive Officer |                             |

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|   | · | pertain      to the maintenance of records that, in reasonable detail, accurately and      fairly reflect the transactions and dispositions of the assets of the      Corporation; |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | provide      reasonable assurance that transactions are recorded as necessary to permit      preparation of financial statements in accordance with accounting      principles generally accepted in the United States of America and that      receipts and expenditures of the Corporation are being made only in      accordance with authorization of Management and directors of the      Corporation; and |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | provide      reasonable assurance regarding prevention or timely detection of      unauthorized acquisition, use or disposition of assets that could have a      material effect on the consolidated financial  statements. |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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| STEVEN      V. LANT              | CHRISTOPHER      M. CAPONE       |
|----------------------------------|----------------------------------|
| Chairman      of the Board       | Executive      Vice President    |
| and      Chief Executive Officer | and      Chief Financial Officer |

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| CH      ENERGY GROUP CONSOLIDATED STATEMENT OF    INCOME                                             |   |
|------------------------------------------------------------------------------------------------------|--------|
| (In      Thousands, except per share amounts)                                                        |   |   |   |   |   |   |   |   |   |
|                                                                                                 |   |   |   |   |   |   |   |   |   |
|                                                                                                 |   | Year      Ended December 31, |   |
|                                                                                                 |   | 2009 |   |   | 2008 |   |   | 2007 |   |
| Operating      Revenues                                                                              |   |   |   |   |   |   |   |   |   |
| Electric                                                                                             |   | $ | 536,170 |   |   | $ | 608,161 |   |   | $ | 616,839 |   |
| Natural      gas                                                                                     |   |   | 174,137 |   |   |   | 189,546 |   |   |   | 165,449 |   |
| Competitive      business subsidiaries:                                                              |   |   |   |   |   |   |   |   |   |   |   |   |
| Petroleum      products                                                                              |   |   | 193,288 |   |   |   | 312,764 |   |   |   | 269,070 |   |
| Other                                                                                                |   |   | 27,994 |   |   |   | 28,730 |   |   |   | 27,409 |   |
| Total      Operating Revenues                                                                        |   |   | 931,589 |   |   |   | 1,139,201 |   |   |   | 1,078,767 |   |
| Operating      Expenses                                                                              |   |   |   |   |   |   |   |   |   |   |   |   |
| Operation:                                                                                           |   |   |   |   |   |   |   |   |   |   |   |   |
| Purchased      electricity and fuel used in electric generation                                      |   |   | 265,885 |   |   |   | 371,828 |   |   |   | 388,569 |   |
| Purchased      natural gas                                                                           |   |   | 107,221 |   |   |   | 129,649 |   |   |   | 110,123 |   |
| Purchased      petroleum                                                                             |   |   | 151,411 |   |   |   | 268,536 |   |   |   | 229,200 |   |
| Other      expenses of operation - regulated activities                                              |   |   | 194,383 |   |   |   | 167,805 |   |   |   | 153,978 |   |
| Other      expenses of operation - competitive business subsidiaries                                 |   |   | 54,338 |   |   |   | 57,355 |   |   |   | 52,308 |   |
| Depreciation      and amortization                                                                   |   |   | 37,703 |   |   |   | 35,258 |   |   |   | 33,902 |   |
| Taxes,      other than income tax                                                                    |   |   | 40,249 |   |   |   | 37,818 |   |   |   | 35,028 |   |
| Total      Operating Expenses                                                                        |   |   | 851,190 |   |   |   | 1,068,249 |   |   |   | 1,003,108 |   |
| Operating      Income                                                                                |   |   | 80,399 |   |   |   | 70,952 |   |   |   | 75,659 |   |
| Other      Income and Deductions                                                                     |   |   |   |   |   |   |   |   |   |   |   |   |
| Income      from unconsolidated affiliates                                                           |   |   | 228 |   |   |   | 568 |   |   |   | 1,895 |   |
| Interest      on regulatory assets and investment income                                             |   |   | 5,924 |   |   |   | 4,667 |   |   |   | 8,406 |   |
| Write-off      of note receivable                                                                    |   |   | (1,299 | ) |   |   | - |   |   |   | - |   |
| Regulatory      adjustments for interest cost                                                        |   |   | (1,366 | ) |   |   | 766 |   |   |   | 538 |   |
| Business      development costs                                                                      |   |   | (2,012 | ) |   |   | (1,589 | ) |   |   | (1,451 | ) |
| Other      - net                                                                                     |   |   | (1,259 | ) |   |   | 851 |   |   |   | (366 | ) |
| Total      Other Income                                                                              |   |   | 216 |   |   |   | 5,263 |   |   |   | 9,022 |   |
| Interest      Charges                                                                                |   |   |   |   |   |   |   |   |   |   |   |   |
| Interest      on long-term debt                                                                      |   |   | 20,999 |   |   |   | 20,518 |   |   |   | 18,653 |   |
| Interest      on regulatory liabilities and other interest                                           |   |   | 4,797 |   |   |   | 3,774 |   |   |   | 3,064 |   |
| Total      Interest Charges                                                                          |   |   | 25,796 |   |   |   | 24,292 |   |   |   | 21,717 |   |
|                                                                                                 |   |   |   |   |   |   |   |   |   |   |   |   |
| Income      before income taxes, non-controlling interest and preferred dividends of      subsidiary |   |   | 54,819 |   |   |   | 51,923 |   |   |   | 62,964 |   |
| Income      Taxes                                                                                    |   |   | 20,392 |   |   |   | 19,314 |   |   |   | 20,960 |   |
| Net      Income from Continuing Operations                                                           |   |   | 34,427 |   |   |   | 32,609 |   |   |   | 42,004 |   |
|                                                                                                 |   |   |   |   |   |   |   |   |   |   |   |   |
| Discontinued      Operations                                                                         |   |   |   |   |   |   |   |   |   |   |   |   |
| Income      from discontinued operations before tax                                                  |   |   | 6,073 |   |   |   | 6,060 |   |   |   | 2,419 |   |
| Gain      from sale of discontinued operations                                                       |   |   | 10,767 |   |   |   | - |   |   |   | - |   |
| Income      tax expense from discontinued operations                                                 |   |   | 6,989 |   |   |   | 2,515 |   |   |   | 938 |   |
| Net      Income from Discontinued Operations                                                         |   |   | 9,851 |   |   |   | 3,545 |   |   |   | 1,481 |   |
|                                                                                                 |   |   |   |   |   |   |   |   |   |   |   |   |
| Net      Income                                                                                      |   |   | 44,278 |   |   |   | 36,154 |   |   |   | 43,485 |   |
|                                                                                                 |   |   |   |   |   |   |   |   |   |   |   |   |
| Net      income attributable to non-controlling interest:                                            |   |   |   |   |   |   |   |   |   |   |   |   |
| Non-controlling      interest in subsidiary                                                          |   |   | (176 | ) |   |   | 103 |   |   |   | (121 | ) |
| Dividends      declared on Preferred Stock of subsidiary                                             |   |   | 970 |   |   |   | 970 |   |   |   | 970 |   |
| Net      income attributable to CH Energy Group                                                      |   |   | 43,484 |   |   |   | 35,081 |   |   |   | 42,636 |   |
|                                                                                                 |   |   |   |   |   |   |   |   |   |   |   |   |
| Dividends      declared on Common Stock                                                              |   |   | 34,119 |   |   |   | 34,086 |   |   |   | 34,052 |   |
| Change      in Retained Earnings                                                                     |   | $ | 9,365 |   |   | $ | 995 |   |   | $ | 8,584 |   |

----

Table of Contents

| CH      ENERGY GROUP CONSOLIDATED STATEMENT OF INCOME (CONT'D)                                  |   |
|-------------------------------------------------------------------------------------------------|--------|
| (In      Thousands, except per share amounts)                                                   |   |   |   |   |   |   |   |   |   |
|                                                                                            |   |   |   |   |   |   |   |   |   |
|                                                                                            |   | Year      Ended December 31, |   |
|                                                                                            |   | 2009 |   |   | 2008 |   |   | 2007 |   |
| Common      Stock:                                                                              |   |   |   |   |   |   |   |   |   |
| Average      shares outstanding                                                                 |   |   |   |   |   |   |   |   |   |
| Basic                                                                                           |   |   | 15,775 |   |   |   | 15,768 |   |   |   | 15,762 |   |
| Diluted                                                                                         |   |   | 15,881 |   |   |   | 15,805 |   |   |   | 15,779 |   |
|                                                                                            |   |   |   |   |   |   |   |   |   |   |   |   |
| Income      from continuing operations attributable to CH Energy Group common      shareholders |   |   |   |   |   |   |   |   |   |   |   |   |
| Earnings      per share                                                                         |   |   |   |   |   |   |   |   |   |   |   |   |
| Basic                                                                                           |   | $ | 2.13 |   |   | $ | 2.00 |   |   | $ | 2.61 |   |
| Diluted                                                                                         |   | $ | 2.12 |   |   | $ | 2.00 |   |   | $ | 2.61 |   |
|                                                                                            |   |   |   |   |   |   |   |   |   |   |   |   |
| Income      from discontinued operations                                                        |   |   |   |   |   |   |   |   |   |   |   |   |
| Earnings      per share                                                                         |   |   |   |   |   |   |   |   |   |   |   |   |
| Basic                                                                                           |   | $ | 0.63 |   |   | $ | 0.22 |   |   | $ | 0.09 |   |
| Diluted                                                                                         |   | $ | 0.62 |   |   | $ | 0.22 |   |   | $ | 0.09 |   |
|                                                                                            |   |   |   |   |   |   |   |   |   |   |   |   |
| Amounts      attributable to CH Energy Group common shareholders                                |   |   |   |   |   |   |   |   |   |   |   |   |
| Earnings      per share                                                                         |   |   |   |   |   |   |   |   |   |   |   |   |
| Basic                                                                                           |   | $ | 2.76 |   |   | $ | 2.22 |   |   | $ | 2.70 |   |
| Diluted                                                                                         |   | $ | 2.74 |   |   | $ | 2.22 |   |   | $ | 2.70 |   |
| Dividends      Declared Per Share                                                               |   | $ | 2.16 |   |   | $ | 2.16 |   |   | $ | 2.16 |   |

----

Table of Contents

| CH      ENERGY GROUP CONSOLIDATED STATEMENT OF COMPREHENSIVE      INCOME                                                      |   |
|-------------------------------------------------------------------------------------------------------------------------------|--------|
| (In      Thousands)                                                                                                           |   |   |   |   |   |   |   |   |   |
|                                                                                                                          |   |   |   |   |   |   |   |   |   |
|                                                                                                                          |   | Year      Ended December 31, |   |
|                                                                                                                          |   | 2009 |   |   | 2008 |   |   | 2007 |   |
| Net      Income                                                                                                               |   | $ | 44,278 |   |   | $ | 36,154 |   |   | $ | 43,485 |   |
|                                                                                                                          |   |   |   |   |   |   |   |   |   |   |   |   |
| Other      Comprehensive Income:                                                                                              |   |   |   |   |   |   |   |   |   |   |   |   |
|                                                                                                                          |   |   |   |   |   |   |   |   |   |   |   |   |
| Fair      value of cash flow hedges:                                                                                          |   |   |   |   |   |   |   |   |   |   |   |   |
| Unrealized      (losses) gains - net of tax of $7, ($318) and ($687)                                                          |   |   | (10 | ) |   |   | 477 |   |   |   | 1,031 |   |
|                                                                                                                          |   |   |   |   |   |   |   |   |   |   |   |   |
| Reclassification      for (gains) losses realized in net income-net of tax of ($29), $806 and      ($44)                      |   |   | 44 |   |   |   | (1,208 | ) |   |   | 67 |   |
|                                                                                                                          |   |   |   |   |   |   |   |   |   |   |   |   |
| Net      unrealized (losses) gains on investments held by equity method investees -      net of tax of ($63), $258 and ($402) |   |   | 95 |   |   |   | (387 | ) |   |   | 604 |   |
|                                                                                                                          |   |   |   |   |   |   |   |   |   |   |   |   |
| Other      comprehensive (loss) income                                                                                        |   |   | 129 |   |   |   | (1,118 | ) |   |   | 1,702 |   |
|                                                                                                                          |   |   |   |   |   |   |   |   |   |   |   |   |
| Comprehensive      Income                                                                                                     |   |   | 44,407 |   |   |   | 35,036 |   |   |   | 45,187 |   |
|                                                                                                                          |   |   |   |   |   |   |   |   |   |   |   |   |
| Comprehensive      income attributable to non-controlling interest                                                            |   |   | 794 |   |   |   | 1,073 |   |   |   | 849 |   |
|                                                                                                                          |   |   |   |   |   |   |   |   |   |   |   |   |
| Comprehensive      income attributable to CH Energy Group                                                                     |   | $ | 43,613 |   |   | $ | 33,963 |   |   | $ | 44,338 |   |

----

Table of Contents

| CH      ENERGY GROUP CONSOLIDATED STATEMENT OF CASH      FLOWS                              |   |
|---------------------------------------------------------------------------------------------|--------|
| (In      Thousands)                                                                         |   |   |   |   |   |   |   |   |   |
|                                                                                        |   |   |   |
|                                                                                        |   | Year      Ended December 31, |   |
|                                                                                        |   | 2009 |   |   | 2008 |   |   | 2007 |   |
| Operating      Activities:                                                                  |   |   |   |   |   |   |   |   |   |
| Net      income                                                                             |   | $ | 44,278 |   |   | $ | 36,154 |   |   | $ | 43,485 |   |
| Adjustments      to reconcile net income to net cash provided by operating      activities: |   |   |   |   |   |   |   |   |   |   |   |   |
| Depreciation                                                                                |   |   | 35,399 |   |   |   | 33,292 |   |   |   | 32,208 |   |
| Amortization                                                                                |   |   | 5,146 |   |   |   | 5,006 |   |   |   | 3,715 |   |
| Deferred      income taxes - net                                                            |   |   | 15,514 |   |   |   | 13,933 |   |   |   | 5,349 |   |
| Bad      debt expense                                                                       |   |   | 12,814 |   |   |   | 12,470 |   |   |   | 5,853 |   |
| Distributed      (undistributed) equity in earnings of unconsolidated      affiliates       |   |   | 829 |   |   |   | 756 |   |   |   | (18 | ) |
| Pension      expense                                                                        |   |   | 20,282 |   |   |   | 12,377 |   |   |   | 12,697 |   |
| Other      post-employment benefits ("OPEB") expense                                        |   |   | 8,346 |   |   |   | 9,844 |   |   |   | 10,097 |   |
| Regulatory      liability - rate moderation                                                 |   |   | (9,915 | ) |   |   | (5,954 | ) |   |   | (18,425 | ) |
| Revenue      decoupling mechanism                                                           |   |   | (5,789 | ) |   |   | - |   |   |   | - |   |
| Regulatory      asset amortization                                                          |   |   | 4,541 |   |   |   | 4,299 |   |   |   | 1,509 |   |
| Gain      on sale of assets                                                                 |   |   | (10,778 | ) |   |   | (143 | ) |   |   | (627 | ) |
| Changes      in operating assets and liabilities - net of business      acquisitions:       |   |   |   |   |   |   |   |   |   |   |   |   |
| Accounts      receivable, unbilled revenues and other receivables                           |   |   | 6,854 |   |   |   | (7,071 | ) |   |   | (65,210 | ) |
| Fuel,      materials and supplies                                                           |   |   | 9,187 |   |   |   | (2,857 | ) |   |   | (3,764 | ) |
| Special      deposits and prepayments                                                       |   |   | (305 | ) |   |   | 6,809 |   |   |   | (4,390 | ) |
| Prepaid      income taxes                                                                   |   |   | (2,304 | ) |   |   | - |   |   |   | 11,244 |   |
| Accounts      payable                                                                       |   |   | (3,875 | ) |   |   | 8,458 |   |   |   | 1,576 |   |
| Accrued      income taxes and interest                                                      |   |   | 168 |   |   |   | (621 | ) |   |   | 1,316 |   |
| Customer      advances                                                                      |   |   | 1,839 |   |   |   | 7,397 |   |   |   | (2,687 | ) |
| Pension      plan contribution                                                              |   |   | (23,124 | ) |   |   | (13,027 | ) |   |   | (6,347 | ) |
| OPEB      contribution                                                                      |   |   | (3,485 | ) |   |   | (4,200 | ) |   |   | (6,547 | ) |
| Regulatory      asset - manufactured gas plant ("MGP") site remediation                     |   |   | (2,278 | ) |   |   | (2,834 | ) |   |   | (5,050 | ) |
| Regulatory      asset - PSC tax surcharge and general assessment                            |   |   | (10,947 | ) |   |   | - |   |   |   | - |   |
| Deferred      natural gas and electric costs                                                |   |   | 14,321 |   |   |   | (12,453 | ) |   |   | (3,310 | ) |
| Other      - net                                                                            |   |   | 19,657 |   |   |   | 8,620 |   |   |   | 21,375 |   |
| Net      cash provided by operating activities                                              |   |   | 126,375 |   |   |   | 110,255 |   |   |   | 34,049 |   |
|                                                                                        |   |   |   |   |   |   |   |   |   |   |   |   |
| Investing      Activities:                                                                  |   |   |   |   |   |   |   |   |   |   |   |   |
| Purchase      of short-term investments                                                     |   |   | - |   |   |   | - |   |   |   | (69,293 | ) |
| Proceeds      from sale of short-term investments                                           |   |   | - |   |   |   | 3,545 |   |   |   | 108,359 |   |
| Acceptance      of notes receivable                                                         |   |   | - |   |   |   | - |   |   |   | (4,200 | ) |
| Proceeds      from sale of assets                                                           |   |   | 74,659 |   |   |   | 261 |   |   |   | 4,574 |   |
| Additions      to utility and other property and plant                                      |   |   | (123,132 | ) |   |   | (84,198 | ) |   |   | (84,601 | ) |
| Acquisitions      made by competitive business subsidiaries                                 |   |   | - |   |   |   | (9,262 | ) |   |   | (25,614 | ) |
| Other      - net                                                                            |   |   | (7,249 | ) |   |   | 1,012 |   |   |   | (2,899 | ) |
| Net      cash used in investing activities                                                  |   |   | (55,722 | ) |   |   | (88,642 | ) |   |   | (73,674 | ) |
|                                                                                        |   |   |   |   |   |   |   |   |   |   |   |   |
| Financing      Activities:                                                                  |   |   |   |   |   |   |   |   |   |   |   |   |
| Redemption      of long-term debt                                                           |   |   | (20,000 | ) |   |   | - |   |   |   | (33,000 | ) |
| Proceeds      from issuance of long-term debt                                               |   |   | 74,000 |   |   |   | 30,000 |   |   |   | 66,000 |   |
| (Repayments)      borrowings of short-term debt - net                                       |   |   | (35,500 | ) |   |   | (7,000 | ) |   |   | 29,500 |   |
| Dividends      paid on Preferred Stock of subsidiary                                        |   |   | (970 | ) |   |   | (970 | ) |   |   | (970 | ) |
| Dividends      paid on Common Stock                                                         |   |   | (34,107 | ) |   |   | (34,081 | ) |   |   | (34,046 | ) |
| Other      - net                                                                            |   |   | (465 | ) |   |   | (1,050 | ) |   |   | (667 | ) |
| Net      cash (used in) provided by financing activities                                    |   |   | (17,042 | ) |   |   | (13,101 | ) |   |   | 26,817 |   |
|                                                                                        |   |   |   |   |   |   |   |   |   |   |   |   |
| Net      Change in Cash and Cash Equivalents                                                |   |   | 53,611 |   |   |   | 8,512 |   |   |   | (12,808 | ) |
| Cash      and Cash Equivalents at Beginning of Period                                       |   |   | 19,825 |   |   |   | 11,313 |   |   |   | 24,121 |   |
| Cash      and Cash Equivalents at End of Period                                             |   | $ | 73,436 |   |   | $ | 19,825 |   |   | $ | 11,313 |   |
|                                                                                        |   |   |   |   |   |   |   |   |   |   |   |   |
| Supplemental      Disclosure of Cash Flow Information:                                      |   |   |   |   |   |   |   |   |   |   |   |   |
| Interest      paid                                                                          |   | $ | 21,548 |   |   | $ | 22,633 |   |   | $ | 20,001 |   |
| Federal      and state taxes paid                                                           |   | $ | 30,148 |   |   | $ | 10,029 |   |   | $ | 13,096 |   |
| Additions      to plant included in liabilities                                             |   | $ | 2,235 |   |   | $ | 17,876 |   |   | $ | 12,304 |   |

----

Table of Contents

| CH      ENERGY GROUP CONSOLIDATED BALANCE SHEET                                                                                      |   |
|--------------------------------------------------------------------------------------------------------------------------------------|--------|
| (In      Thousands)                                                                                                                  |   |   |   |   |   |   |
|                                                                                                                                 |   | December      31, |   |   | December      31, |   |
|                                                                                                                                 |   | 2009 |   |   | 2008 |   |
| ASSETS                                                                                                                               |   |   |   |   |   |   |
| Utility      Plant                                                                                                                   |   |   |   |   |   |   |
| Electric                                                                                                                             |   | $ | 908,807 |   |   | $ | 862,465 |   |
| Natural      gas                                                                                                                     |   |   | 281,139 |   |   |   | 263,874 |   |
| Common                                                                                                                               |   |   | 139,754 |   |   |   | 135,732 |   |
|                                                                                                                                 |   |   | 1,329,700 |   |   |   | 1,262,071 |   |
|                                                                                                                                 |   |   |   |   |   |   |   |   |
| Less:      Accumulated depreciation                                                                                                  |   |   | 375,434 |   |   |   | 369,925 |   |
|                                                                                                                                 |   |   | 954,266 |   |   |   | 892,146 |   |
|                                                                                                                                 |   |   |   |   |   |   |   |   |
| Construction      work in progress                                                                                                   |   |   | 58,120 |   |   |   | 53,778 |   |
| Net      Utility Plant                                                                                                               |   |   | 1,012,386 |   |   |   | 945,924 |   |
|                                                                                                                                 |   |   |   |   |   |   |   |   |
| Non-Utility      Property & Plant                                                                                                |   |   |   |   |   |   |   |   |
| Griffith      non-utility property & plant                                                                                       |   |   | 27,951 |   |   |   | 42,691 |   |
| Other      non-utility property & plant                                                                                          |   |   | 37,654 |   |   |   | 15,345 |   |
|                                                                                                                                 |   |   | 65,605 |   |   |   | 58,036 |   |
|                                                                                                                                 |   |   |   |   |   |   |   |   |
| Less:  Accumulated      depreciation - Griffith                                                                            |   |   | 18,619 |   |   |   | 23,398 |   |
| Less:  Accumulated      depreciation - other                                                                               |   |   | 3,333 |   |   |   | 2,212 |   |
| Net      Non-Utility Property & Plant                                                                                            |   |   | 43,653 |   |   |   | 32,426 |   |
|                                                                                                                                 |   |   |   |   |   |   |   |   |
| Current      Assets                                                                                                                  |   |   |   |   |   |   |   |   |
| Cash      and cash equivalents                                                                                                       |   |   | 73,436 |   |   |   | 19,825 |   |
| Accounts      receivable from customers - net of allowance for doubtful accounts of $7.7      million and $8.8 million, respectively |   |   | 94,526 |   |   |   | 131,727 |   |
| Accrued      unbilled utility revenues                                                                                               |   |   | 14,159 |   |   |   | 12,657 |   |
| Other      receivables                                                                                                               |   |   | 6,612 |   |   |   | 7,914 |   |
| Fuel,      materials and supplies                                                                                                    |   |   | 24,841 |   |   |   | 36,585 |   |
| Regulatory      assets                                                                                                               |   |   | 59,993 |   |   |   | 60,502 |   |
| Prepaid      income tax                                                                                                              |   |   | 1,863 |   |   |   | - |   |
| Fair      value of derivative instruments                                                                                            |   |   | 741 |   |   |   | - |   |
| Special      deposits and prepayments                                                                                                |   |   | 21,290 |   |   |   | 21,344 |   |
| Accumulated      deferred income tax                                                                                                 |   |   | 300 |   |   |   | 7,498 |   |
| Total      Current Assets                                                                                                            |   |   | 297,761 |   |   |   | 298,052 |   |
|                                                                                                                                 |   |   |   |   |   |   |   |   |
| Deferred      Charges and Other Assets                                                                                               |   |   |   |   |   |   |   |   |
| Regulatory      assets - pension plan                                                                                                |   |   | 168,705 |   |   |   | 197,934 |   |
| Regulatory      assets - OPEB                                                                                                        |   |   | - |   |   |   | 4,257 |   |
| Regulatory      assets - other                                                                                                       |   |   | 83,691 |   |   |   | 109,743 |   |
| Goodwill                                                                                                                             |   |   | 35,651 |   |   |   | 67,455 |   |
| Other      intangible assets - net                                                                                                   |   |   | 14,813 |   |   |   | 36,129 |   |
| Unamortized      debt expense                                                                                                        |   |   | 5,094 |   |   |   | 5,009 |   |
| Investments      in unconsolidated affiliates                                                                                        |   |   | 8,698 |   |   |   | 9,711 |   |
| Other      investments                                                                                                               |   |   | 10,812 |   |   |   | 7,815 |   |
| Other                                                                                                                                |   |   | 16,619 |   |   |   | 15,728 |   |
| Total      Deferred Charges and Other Assets                                                                                         |   |   | 344,083 |   |   |   | 453,781 |   |
| Total      Assets                                                                                                                    |   | $ | 1,697,883 |   |   | $ | 1,730,183 |   |

----

Table of Contents

| CH      ENERGY GROUP CONSOLIDATED BALANCE SHEET (CONT'D)                                                                                                               |   |
|------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|
| (In      Thousands)                                                                                                                                                    |   |   |   |   |   |   |
|                                                                                                                                                                   |   | December      31, |   |   | December      31, |   |
|                                                                                                                                                                   |   | 2009 |   |   | 2008 |   |
| CAPITALIZATION      AND LIABILITIES                                                                                                                                    |   |   |   |   |   |   |
| Capitalization                                                                                                                                                         |   |   |   |   |   |   |
| CH      Energy Group Common Shareholders' Equity                                                                                                                       |   |   |   |   |   |   |
| Common      Stock (30,000,000 shares authorized: $0.10 par value;16,862,087 shares      issued) 15,804,562 shares and 15,783,083 shares outstanding,      respectively |   | $ | 1,686 |   |   | $ | 1,686 |   |
| Paid-in      capital                                                                                                                                                   |   |   | 350,367 |   |   |   | 350,873 |   |
| Retained      earnings                                                                                                                                                 |   |   | 225,999 |   |   |   | 216,634 |   |
| Treasury      stock - 1,057,525 shares and 1,079,004 shares,respectively                                                                                               |   |   | (44,406 | ) |   |   | (45,386 | ) |
| Accumulated      other comprehensive income                                                                                                                            |   |   | 184 |   |   |   | 55 |   |
| Capital      stock expense                                                                                                                                             |   |   | (328 | ) |   |   | (328 | ) |
| Total      CH Energy Group Common Shareholders' Equity                                                                                                                 |   |   | 533,502 |   |   |   | 523,534 |   |
| Non-controlling      interest in subsidiary                                                                                                                            |   |   | 1,385 |   |   |   | 1,448 |   |
| Total      Equity                                                                                                                                                      |   |   | 534,887 |   |   |   | 524,982 |   |
| Preferred      Stock of subsidiary                                                                                                                                     |   |   | 21,027 |   |   |   | 21,027 |   |
| Long-term      debt                                                                                                                                                    |   |   | 463,897 |   |   |   | 413,894 |   |
| Total      Capitalization                                                                                                                                              |   |   | 1,019,811 |   |   |   | 959,903 |   |
| Current      Liabilities                                                                                                                                               |   |   |   |   |   |   |   |   |
| Current      maturities of long-term debt                                                                                                                              |   |   | 24,000 |   |   |   | 20,000 |   |
| Notes      payable                                                                                                                                                     |   |   | - |   |   |   | 35,500 |   |
| Accounts      payable                                                                                                                                                  |   |   | 43,197 |   |   |   | 52,824 |   |
| Accrued      interest                                                                                                                                                  |   |   | 6,067 |   |   |   | 5,899 |   |
| Dividends      payable                                                                                                                                                 |   |   | 8,777 |   |   |   | 8,765 |   |
| Accrued      vacation and payroll                                                                                                                                      |   |   | 6,192 |   |   |   | 6,628 |   |
| Customer      advances                                                                                                                                                 |   |   | 22,450 |   |   |   | 30,442 |   |
| Customer      deposits                                                                                                                                                 |   |   | 8,579 |   |   |   | 8,445 |   |
| Regulatory      liabilities                                                                                                                                            |   |   | 29,974 |   |   |   | 8,724 |   |
| Fair      value of derivative instruments                                                                                                                              |   |   | 13,837 |   |   |   | 15,759 |   |
| Accrued      environmental remediation costs                                                                                                                           |   |   | 17,399 |   |   |   | 5,757 |   |
| Accrued      income taxes                                                                                                                                              |   |   | - |   |   |   | 441 |   |
| Deferred      revenues                                                                                                                                                 |   |   | 4,725 |   |   |   | 8,827 |   |
| Other                                                                                                                                                                  |   |   | 17,814 |   |   |   | 27,974 |   |
| Total      Current Liabilities                                                                                                                                         |   |   | 203,011 |   |   |   | 235,985 |   |
| Deferred      Credits and Other Liabilities                                                                                                                            |   |   |   |   |   |   |   |   |
| Regulatory      liabilities - OPEB                                                                                                                                     |   |   | 1,521 |   |   |   | - |   |
| Regulatory      liabilities - other                                                                                                                                    |   |   | 91,457 |   |   |   | 126,444 |   |
| Operating      reserves                                                                                                                                                |   |   | 4,756 |   |   |   | 5,155 |   |
| Accrued      environmental remediation costs                                                                                                                           |   |   | 6,375 |   |   |   | 21,796 |   |
| Accrued      OPEB costs                                                                                                                                                |   |   | 46,241 |   |   |   | 52,645 |   |
| Accrued      pension costs                                                                                                                                             |   |   | 152,383 |   |   |   | 161,674 |   |
| Other                                                                                                                                                                  |   |   | 14,245 |   |   |   | 12,478 |   |
| Total      Deferred Credits and Other Liabilities                                                                                                                      |   |   | 316,978 |   |   |   | 380,192 |   |
| Accumulated      Deferred Income Tax                                                                                                                                   |   |   | 158,083 |   |   |   | 154,103 |   |
| Commitments      and Contingencies                                                                                                                                     |   |   |   |   |   |   |   |   |
| Total      Capitalization and Liabilities                                                                                                                              |   | $ | 1,697,883 |   |   | $ | 1,730,183 |   |

----

Table of Contents

CH ENERGY 

|                                                                  |   | CH      Energy Group Common Shareholders                            |       |   |                |   |   |                    |   |
|-----------------------------------------------------------------------|--------|---------------------------------------------------------------------|------------|--------|---------------------|--------|--------|-------------------------|--------|
|                                                                  |   | Common      Stock$0.10      par value; 30,000,000 shares authorized |       |   | Treasury      Stock |   |   |                    |   |   | Capital      Stock Expense |   |   |   |   |   | Accumulated      Other Comprehensive Income / (Loss) |   |   |   |   |   |   |   |
|                                                                  |   | Shares      Issued                                                  |       |   | Amount              |   |   | Shares      Repurchased |   |   | Amount |   |   | Paid-In      Capital |   |   | Retained      Earnings |   |   | Non-controlling      Interest |   |   | Total      Equity |   |
| Balance      at January 1, 2007                                       |   |                                                                | 16,862,087 |   |                | $      | 1,686  |                    |   |   | (1,100,087 | ) |   | $ | (46,252 | ) |   | $ | 351,230 |   |   | $ | (328 | ) |   | $ | 207,055 |   |   | $ | (529 | ) |   | $ | 1,481 |   |   | $ | 514,343 |   |
| Comprehensive      Income:                                            |   |                                                                |       |   |                |   |   |                    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Net      income                                                       |   |                                                                |       |   |                |   |   |                    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   | 42,636 |   |   |   |   |   |   |   | (121 | ) |   |   | 42,515 |   |
| Other                                                                 |   |                                                                |       |   |                |   |   |                    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   | (15 | ) |   |   | (15 | ) |
| Change      in fair value:                                            |   |                                                                |       |   |                |   |   |                    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Derivative      instruments                                           |   |                                                                |       |   |                |   |   |                    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   | 1,031 |   |   |   |   |   |   |   | 1,031 |   |
| Investments                                                           |   |                                                                |       |   |                |   |   |                    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   | 604 |   |   |   |   |   |   |   | 604 |   |
| Reclassification      adjustments for losses recognized in net income |   |                                                                |       |   |                |   |   |                    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   | 67 |   |   |   |   |   |   |   | 67 |   |
| Dividends      declared on common stock ($2.16 per share)             |   |                                                                |       |   |                |   |   |                    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   | (34,052 | ) |   |   |   |   |   |   |   |   |   |   | (34,052 | ) |
| Treasury      shares activity - net                                   |   |                                                                |       |   |                |   |   |                    |   |   | - |   |   |   | - |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   | - |   |
| Balance      at December 31, 2007                                     |   |                                                                | 16,862,087 |   |                | $      | 1,686  |                    |   |   | (1,100,087 | ) |   | $ | (46,252 | ) |   | $ | 351,230 |   |   | $ | (328 | ) |   | $ | 215,639 |   |   | $ | 1,173 |   |   | $ | 1,345 |   |   | $ | 524,493 |   |
| Comprehensive      Income:                                            |   |                                                                |       |   |                |   |   |                    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Net      income                                                       |   |                                                                |       |   |                |   |   |                    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   | 35,081 |   |   |   |   |   |   |   | 103 |   |   |   | 35,184 |   |
| Change      in fair value:                                            |   |                                                                |       |   |                |   |   |                    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Derivative      instruments                                           |   |                                                                |       |   |                |   |   |                    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   | 477 |   |   |   |   |   |   |   | 477 |   |
| Investments                                                           |   |                                                                |       |   |                |   |   |                    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   | (387 | ) |   |   |   |   |   |   | (387 | ) |
| Reclassification      adjustments for losses recognized in net income |   |                                                                |       |   |                |   |   |                    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   | (1,208 | ) |   |   |   |   |   |   | (1,208 | ) |
| Dividends      declared on common stock ($2.16 per share)             |   |                                                                |       |   |                |   |   |                    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   | (34,086 | ) |   |   |   |   |   |   |   |   |   |   | (34,086 | ) |
| Treasury      shares activity - net                                   |   |                                                                |       |   |                |   |   |                    |   |   | 21,083 |   |   |   | 866 |   |   |   | (357 | ) |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   | 509 |   |
| Balance      at December 31, 2008                                     |   |                                                                | 16,862,087 |   |                | $      | 1,686  |                    |   |   | (1,079,004 | ) |   | $ | (45,386 | ) |   | $ | 350,873 |   |   | $ | (328 | ) |   | $ | 216,634 |   |   | $ | 55 |   |   | $ | 1,448 |   |   | $ | 524,982 |   |
| Comprehensive      Income:                                            |   |                                                                |       |   |                |   |   |                    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Net      income                                                       |   |                                                                |       |   |                |   |   |                    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   | 43,484 |   |   |   |   |   |   |   | (176 | ) |   |   | 43,308 |   |
| Capital      Contributions                                            |   |                                                                |       |   |                |   |   |                    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   | 213 |   |   |   | 213 |   |
| Capital      Distributions                                            |   |                                                                |       |   |                |   |   |                    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   | (100 | ) |   |   | (100 | ) |
| Change      in fair value:                                            |   |                                                                |       |   |                |   |   |                    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Derivative      instruments                                           |   |                                                                |       |   |                |   |   |                    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   | (10 | ) |   |   |   |   |   |   | (10 | ) |
| Investments                                                           |   |                                                                |       |   |                |   |   |                    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   | 44 |   |   |   |   |   |   |   | 44 |   |
| Reclassification      adjustments for losses recognized in net income |   |                                                                |       |   |                |   |   |                    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   | 95 |   |   |   |   |   |   |   | 95 |   |
| Dividends      declared on common stock ($2.16 per share)             |   |                                                                |       |   |                |   |   |                    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   | (34,119 | ) |   |   |   |   |   |   |   |   |   |   | (34,119 | ) |
| Treasury      shares activity - net                                   |   |                                                                |       |   |                |   |   |                    |   |   | 21,479 |   |   |   | 980 |   |   |   | (506 | ) |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   | 474 |   |
| Balance      at December 31, 2009                                     |   |                                                                | 16,862,087 |   |                | $      | 1,686  |                    |   |   | (1,057,525 | ) |   | $ | (44,406 | ) |   | $ | 350,367 |   |   | $ | (328 | ) |   | $ | 225,999 |   |   | $ | 184 |   |   | $ | 1,385 |   |   | $ | 534,887 |   |

----

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ENTR

|                                                            |   | Year      Ended December 31, |    |
|-----------------------------------------------------------------|--------|------------------------------|---------|
|                                                            |   | 2009                         |    |   | 2008 |   |   | 2007 |   |
| Operating      Revenues                                         |   |                         |    |   |   |   |   |   |   |
| Electric                                                        |   | $                            | 536,170 |   |   | $ | 608,161 |   |   | $ | 616,839 |   |
| Natural      gas                                                |   |                         | 174,137 |   |   |   | 189,546 |   |   |   | 165,449 |   |
| Total      Operating Revenues                                   |   |                         | 710,307 |   |   |   | 797,707 |   |   |   | 782,288 |   |
|                                                            |   |                         |    |   |   |   |   |   |   |   |   |   |
| Operating      Expenses                                         |   |                         |    |   |   |   |   |   |   |   |   |   |
| Operation:                                                      |   |                         |    |   |   |   |   |   |   |   |   |   |
| Purchased      electricity and fuel used in electric generation |   |                         | 261,003 |   |   |   | 365,827 |   |   |   | 383,806 |   |
| Purchased      natural gas                                      |   |                         | 107,221 |   |   |   | 129,649 |   |   |   | 110,123 |   |
| Other      expenses of operation                                |   |                         | 194,383 |   |   |   | 167,805 |   |   |   | 153,978 |   |
| Depreciation      and amortization                              |   |                         | 32,094  |   |   |   | 29,812 |   |   |   | 28,399 |   |
| Taxes,      other than income tax                               |   |                         | 39,268  |   |   |   | 37,270 |   |   |   | 34,576 |   |
| Total      Operating Expenses                                   |   |                         | 633,969 |   |   |   | 730,363 |   |   |   | 710,882 |   |
|                                                            |   |                         |    |   |   |   |   |   |   |   |   |   |
| Operating      Income                                           |   |                         | 76,338  |   |   |   | 67,344 |   |   |   | 71,406 |   |
|                                                            |   |                         |    |   |   |   |   |   |   |   |   |   |
| Other      Income and Deductions                                |   |                         |    |   |   |   |   |   |   |   |   |   |
| Interest      on regulatory assets and other interest income    |   |                         | 5,030   |   |   |   | 3,171 |   |   |   | 5,743 |   |
| Other      - net                                                |   |                         | (1,199  | ) |   |   | 656 |   |   |   | (1,018 | ) |
| Regulatory      adjustments for interest costs                  |   |                         | (1,366  | ) |   |   | 766 |   |   |   | 538 |   |
| Total      Other Income                                         |   |                         | 2,465   |   |   |   | 4,593 |   |   |   | 5,263 |   |
|                                                            |   |                         |    |   |   |   |   |   |   |   |   |   |
| Interest      Charges                                           |   |                         |    |   |   |   |   |   |   |   |   |   |
| Interest      on other long-term debt                           |   |                         | 18,830  |   |   |   | 20,518 |   |   |   | 18,653 |   |
| Interest      on regulatory liabilities and other interest      |   |                         | 6,055   |   |   |   | 4,908 |   |   |   | 4,254 |   |
| Total      Interest Charges                                     |   |                         | 24,885  |   |   |   | 25,426 |   |   |   | 22,907 |   |
|                                                            |   |                         |    |   |   |   |   |   |   |   |   |   |
| Income      Before Income Taxes                                 |   |                         | 53,918  |   |   |   | 46,511 |   |   |   | 53,762 |   |
|                                                            |   |                         |    |   |   |   |   |   |   |   |   |   |
| Income      Taxes                                               |   |                         | 21,142  |   |   |   | 19,273 |   |   |   | 20,326 |   |
|                                                            |   |                         |    |   |   |   |   |   |   |   |   |   |
| Net      Income                                                 |   |                         | 32,776  |   |   |   | 27,238 |   |   |   | 33,436 |   |
|                                                            |   |                         |    |   |   |   |   |   |   |   |   |   |
| Dividends      Declared on Cumulative Preferred Stock           |   |                         | 970     |   |   |   | 970 |   |   |   | 970 |   |
|                                                            |   |                         |    |   |   |   |   |   |   |   |   |   |
| Income      Available for Common Stock                          |   | $                            | 31,806  |   |   | $ | 26,268 |   |   | $ | 32,466 |   |

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Table of Contents

| CENTRAL HUDSON STATEMENT OF COMPREHENSIVE    INCOME |                         |
|-----------------------------------------------------|------------------------------|
| (In      Thousands)                                 |                         |   |   |   |   |   |   |   |   |
|                                                |                         |   |
|                                                | Year      Ended December 31, |   |
|                                                | 2009                         |   | 2008 |   | 2007 |   |
| Net      Income                                     |                         | $ | 32,776 |   |   | $ | 27,238 |   |   | $ | 33,436 |   |
| Other      Comprehensive Income                     |                         |   | - |   |   |   | - |   |   |   | - |   |
|                                                |                         |   |   |   |   |   |   |   |   |   |   |   |
| Comprehensive      Income                           |                         | $ | 32,776 |   |   | $ | 27,238 |   |   | $ | 33,436 |   |

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Table of Contents

CENT

|                                                                                        |   | Year      Ended December 31, |     |
|---------------------------------------------------------------------------------------------|--------|------------------------------|----------|
|                                                                                        |   | 2009                         |     |   | 2008 |   |   | 2007 |   |
| Operating      Activities:                                                                  |   |                         |     |   |   |   |   |   |   |
| Net      income                                                                             |   | $                            | 32,776   |   |   | $ | 27,238 |   |   | $ | 33,436 |   |
| Adjustments      to reconcile net income to net cash provided by operating      activities: |   |                         |     |   |   |   |   |   |   |
| Depreciation                                                                                |   |                         | 30,949   |   |   |   | 28,922 |   |   |   | 28,047 |   |
| Amortization                                                                                |   |                         | 1,145    |   |   |   | 890 |   |   |   | 352 |   |
| Deferred      income taxes - net                                                            |   |                         | 20,010   |   |   |   | 11,375 |   |   |   | 3,105 |   |
| Bad      debt expense                                                                       |   |                         | 8,833    |   |   |   | 7,892 |   |   |   | 4,850 |   |
| Pension      expense                                                                        |   |                         | 20,282   |   |   |   | 12,377 |   |   |   | 12,697 |   |
| OPEB      expense                                                                           |   |                         | 8,346    |   |   |   | 9,844 |   |   |   | 10,097 |   |
| Regulatory      liability - rate moderation                                                 |   |                         | (9,915   | ) |   |   | (5,954 | ) |   |   | (18,425 | ) |
| Revenue      decoupling mechanism                                                           |   |                         | (5,789   | ) |   |   | - |   |   |   | - |   |
| Regulatory      asset amortization                                                          |   |                         | 4,541    |   |   |   | 4,299 |   |   |   | 1,509 |   |
| Loss      on sale of property and plant                                                     |   |                         | 25       |   |   |   | - |   |   |   | (468 | ) |
| Changes      in operating assets and liabilities - net:                                     |   |                         |     |   |   |   |   |   |   |   |   |   |
| Accounts      receivable, unbilled revenues and other receivables                           |   |                         | 3,785    |   |   |   | (13,205 | ) |   |   | (39,577 | ) |
| Fuel,      materials and supplies                                                           |   |                         | 9,810    |   |   |   | (6,845 | ) |   |   | (1,466 | ) |
| Special      deposits and prepayments                                                       |   |                         | 364      |   |   |   | 5,952 |   |   |   | (3,409 | ) |
| Prepaid      income taxes                                                                   |   |                         | (10,706  | ) |   |   | - |   |   |   | 10,477 |   |
| Accounts      payable                                                                       |   |                         | (7,325   | ) |   |   | 13,656 |   |   |   | (4,111 | ) |
| Accrued      income taxes and interest                                                      |   |                         | (345     | ) |   |   | (3,434 | ) |   |   | 3,771 |   |
| Customer      advances                                                                      |   |                         | 5,428    |   |   |   | (1,268 | ) |   |   | (5,065 | ) |
| Pension      plan contribution                                                              |   |                         | (23,124  | ) |   |   | (13,027 | ) |   |   | (6,347 | ) |
| OPEB      contribution                                                                      |   |                         | (3,485   | ) |   |   | (4,200 | ) |   |   | (6,547 | ) |
| Regulatory      asset - MGP site remediation                                                |   |                         | (2,278   | ) |   |   | (2,834 | ) |   |   | (5,050 | ) |
| Regulatory      asset - PSC tax surcharge and general assessment                            |   |                         | (10,947  | ) |   |   | - |   |   |   | - |   |
| Deferred      natural gas and electric costs                                                |   |                         | 14,321   |   |   |   | (12,453 | ) |   |   | (3,310 | ) |
| Other      - net                                                                            |   |                         | 20,810   |   |   |   | 8,865 |   |   |   | 18,232 |   |
| Net      cash provided by operating activities                                              |   |                         | 107,511  |   |   |   | 68,090 |   |   |   | 32,798 |   |
|                                                                                        |   |                         |     |   |   |   |   |   |   |   |   |   |
| Investing      Activities:                                                                  |   |                         |     |   |   |   |   |   |   |   |   |   |
| Proceeds      from sale of property and plant                                               |   |                         | -        |   |   |   | - |   |   |   | 862 |   |
| Additions      to utility plant                                                             |   |                         | (99,756  | ) |   |   | (78,931 | ) |   |   | (81,288 | ) |
| Other      - net                                                                            |   |                         | (7,489   | ) |   |   | (1,276 | ) |   |   | (2,853 | ) |
| Net      cash used in investing activities                                                  |   |                         | (107,245 | ) |   |   | (80,207 | ) |   |   | (83,279 | ) |
|                                                                                        |   |                         |     |   |   |   |   |   |   |   |   |   |
| Financing      Activities:                                                                  |   |                         |     |   |   |   |   |   |   |   |   |   |
| Redemption      of long-term debt                                                           |   |                         | (20,000  | ) |   |   | - |   |   |   | (33,000 | ) |
| Proceeds      from issuance of long-term debt                                               |   |                         | 24,000   |   |   |   | 30,000 |   |   |   | 66,000 |   |
| (Repayments)      borrowings of short-term debt - net                                       |   |                         | (25,500  | ) |   |   | (17,000 | ) |   |   | 29,500 |   |
| Additional      paid-in capital                                                             |   |                         | 25,000   |   |   |   | - |   |   |   | - |   |
| Dividends      paid on cumulative Preferred Stock                                           |   |                         | (970     | ) |   |   | (970 | ) |   |   | (970 | ) |
| Dividends      paid to parent - CH Energy Group                                             |   |                         | -        |   |   |   | - |   |   |   | (8,500 | ) |
| Other      - net                                                                            |   |                         | (467     | ) |   |   | (1,050 | ) |   |   | (667 | ) |
| Net      cash provided by financing activities                                              |   |                         | 2,063    |   |   |   | 10,980 |   |   |   | 52,363 |   |
| Net      Change in Cash and Cash Equivalents                                                |   |                         | 2,329    |   |   |   | (1,137 | ) |   |   | 1,882 |   |
| Cash      and Cash Equivalents - Beginning of Period                                        |   |                         | 2,455    |   |   |   | 3,592 |   |   |   | 1,710 |   |
| Cash      and Cash Equivalents - End of Period                                              |   | $                            | 4,784    |   |   | $ | 2,455 |   |   | $ | 3,592 |   |
|                                                                                        |   |                         |     |   |   |   |   |   |   |   |   |   |
| Supplemental      Disclosure of Cash Flow Information:                                      |   |                         |     |   |   |   |   |   |   |   |   |   |
| Interest      paid                                                                          |   | $                            | 19,672   |   |   | $ | 22,080 |   |   | $ | 20,001 |   |
| Federal      and state taxes paid                                                           |   | $                            | 29,764   |   |   | $ | 11,355 |   |   | $ | 13,619 |   |
| Additions      to plant included in liabilities                                             |   | $                            | 1,619    |   |   | $ | 17,876 |   |   | $ | 12,304 |   |

----

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ENTRA

|                                                                                                                                 |   | December      31, |      |   | December      31, |   |
|--------------------------------------------------------------------------------------------------------------------------------------|--------|-------------------|-----------|--------|-------------------|--------|
|                                                                                                                                 |   | 2009              |      |   | 2008              |   |
|                                                                                                                                 |   |              |      |   |              |   |
| ASSETS                                                                                                                               |   |              |      |   |              |   |
| Utility      Plant                                                                                                                   |   |              |      |   |              |   |
| Electric                                                                                                                             |   | $                 | 908,807   |   |              | $      | 862,465 |   |
| Natural      gas                                                                                                                     |   |              | 281,139   |   |              |   | 263,874 |   |
| Common                                                                                                                               |   |              | 139,754   |   |              |   | 135,732 |   |
|                                                                                                                                 |   |              | 1,329,700 |   |              |   | 1,262,071 |   |
|                                                                                                                                 |   |              |      |   |              |   |   |   |
| Less:      Accumulated depreciation                                                                                                  |   |              | 375,434   |   |              |   | 369,925 |   |
|                                                                                                                                 |   |              | 954,266   |   |              |   | 892,146 |   |
|                                                                                                                                 |   |              |      |   |              |   |   |   |
| Construction      work in progress                                                                                                   |   |              | 58,120    |   |              |   | 53,778 |   |
| Net      Utility Plant                                                                                                               |   |              | 1,012,386 |   |              |   | 945,924 |   |
|                                                                                                                                 |   |              |      |   |              |   |   |   |
| Non-Utility      Property and Plant                                                                                                  |   |              | 681       |   |              |   | 445 |   |
| Less:      Accumulated depreciation                                                                                                  |   |              | 33        |   |              |   | 32 |   |
| Net      Non-Utility Property and Plant                                                                                              |   |              | 648       |   |              |   | 413 |   |
|                                                                                                                                 |   |              |      |   |              |   |   |   |
| Current      Assets                                                                                                                  |   |              |      |   |              |   |   |   |
| Cash      and cash equivalents                                                                                                       |   |              | 4,784     |   |              |   | 2,455 |   |
| Accounts      receivable from customers - net of allowance for doubtful accounts of $5.8      million and $4.0 million, respectively |   |              | 68,328    |   |              |   | 85,352 |   |
| Accrued      unbilled utility revenues                                                                                               |   |              | 14,159    |   |              |   | 12,657 |   |
| Other      receivables                                                                                                               |   |              | 3,025     |   |              |   | 3,447 |   |
| Fuel,      materials and supplies - at average cost                                                                                  |   |              | 21,305    |   |              |   | 31,115 |   |
| Regulatory      assets                                                                                                               |   |              | 59,993    |   |              |   | 60,502 |   |
| Prepaid      income tax                                                                                                              |   |              | 10,706    |   |              |   | - |   |
| Fair      value of derivative instruments                                                                                            |   |              | 393       |   |              |   | - |   |
| Special      deposits and prepayments                                                                                                |   |              | 18,304    |   |              |   | 18,573 |   |
| Accumulated      deferred income tax                                                                                                 |   |              | -         |   |              |   | 4,685 |   |
| Total      Current Assets                                                                                                            |   |              | 200,997   |   |              |   | 218,786 |   |
|                                                                                                                                 |   |              |      |   |              |   |   |   |
| Deferred      Charges and Other Assets                                                                                               |   |              |      |   |              |   |   |   |
| Regulatory      assets - pension plan                                                                                                |   |              | 168,705   |   |              |   | 197,934 |   |
| Regulatory      assets - OPEB                                                                                                        |   |              | -         |   |              |   | 4,257 |   |
| Regulatory      assets - other                                                                                                       |   |              | 83,691    |   |              |   | 109,743 |   |
| Unamortized      debt expense                                                                                                        |   |              | 5,094     |   |              |   | 5,009 |   |
| Other      investments                                                                                                               |   |              | 10,543    |   |              |   | 7,697 |   |
| Other                                                                                                                                |   |              | 3,536     |   |              |   | 2,433 |   |
| Total      Deferred Charges and Other Assets                                                                                         |   |              | 271,569   |   |              |   | 327,073 |   |
|                                                                                                                                 |   |              |      |   |              |   |   |   |
| Total      Assets                                                                                                                    |   | $                 | 1,485,600 |   |              | $      | 1,492,196 |   |

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|                                                                                                         |   | December      31, |      |   | December      31, |   |
|--------------------------------------------------------------------------------------------------------------|--------|-------------------|-----------|--------|-------------------|--------|
|                                                                                                         |   | 2009              |      |   | 2008              |   |
| CAPITALIZATION      AND LIABILITIES                                                                          |   |              |      |   |              |   |
| Capitalization                                                                                               |   |              |      |   |              |   |
| Common      Stock, 30,000,000 shares authorized; 16,862,087 shares issued and      outstanding, $5 par value |   | $                 | 84,311    |   |              | $      | 84,311 |   |
| Paid-in      capital                                                                                         |   |              | 199,980   |   |              |   | 174,980 |   |
| Retained      earnings                                                                                       |   |              | 150,750   |   |              |   | 118,944 |   |
| Capital      stock expense                                                                                   |   |              | (4,961    | )      |              |   | (4,961 | ) |
| Total      Equity                                                                                            |   |              | 430,080   |   |              |   | 373,274 |   |
| Cumulative      Preferred Stock not subject to mandatory redemption                                          |   |              | 21,027    |   |              |   | 21,027 |   |
|                                                                                                         |   |              |      |   |              |   |   |   |
| Long-term      debt                                                                                          |   |              | 413,897   |   |              |   | 413,894 |   |
| Total      Capitalization                                                                                    |   |              | 865,004   |   |              |   | 808,195 |   |
|                                                                                                         |   |              |      |   |              |   |   |   |
| Current      Liabilities                                                                                     |   |              |      |   |              |   |   |   |
| Current      maturities of long-term debt                                                                    |   |              | 24,000    |   |              |   | 20,000 |   |
| Notes      payable                                                                                           |   |              | -         |   |              |   | 25,500 |   |
| Accounts      payable                                                                                        |   |              | 32,069    |   |              |   | 42,913 |   |
| Accrued      interest                                                                                        |   |              | 5,637     |   |              |   | 5,895 |   |
| Dividends      payable - Preferred Stock                                                                     |   |              | 242       |   |              |   | 242 |   |
| Accrued      vacation and payroll                                                                            |   |              | 5,046     |   |              |   | 4,896 |   |
| Customer      advances                                                                                       |   |              | 15,002    |   |              |   | 9,574 |   |
| Customer      deposits                                                                                       |   |              | 8,504     |   |              |   | 8,317 |   |
| Regulatory      liabilities                                                                                  |   |              | 29,974    |   |              |   | 8,724 |   |
| Fair      value of derivative instruments                                                                    |   |              | 13,553    |   |              |   | 15,759 |   |
| Accrued      environmental remediation costs                                                                 |   |              | 16,982    |   |              |   | 5,563 |   |
| Accrued      income taxes                                                                                    |   |              | -         |   |              |   | 87 |   |
| Accumulated      deferred income tax                                                                         |   |              | 1,883     |   |              |   | - |   |
| Other                                                                                                        |   |              | 8,761     |   |              |   | 21,284 |   |
| Total      Current Liabilities                                                                               |   |              | 161,653   |   |              |   | 168,754 |   |
|                                                                                                         |   |              |      |   |              |   |   |   |
| Deferred      Credits and Other Liabilities                                                                  |   |              |      |   |              |   |   |   |
| Regulatory      liabilities - OPEB                                                                           |   |              | 1,521     |   |              |   | - |   |
| Regulatory      liabilities - other                                                                          |   |              | 91,457    |   |              |   | 126,444 |   |
| Operating      reserves                                                                                      |   |              | 3,503     |   |              |   | 3,898 |   |
| Accrued      environmental remediation costs                                                                 |   |              | 3,248     |   |              |   | 20,621 |   |
| Accrued      OPEB costs                                                                                      |   |              | 46,241    |   |              |   | 52,645 |   |
| Accrued      pension costs                                                                                   |   |              | 152,383   |   |              |   | 161,674 |   |
| Other                                                                                                        |   |              | 13,495    |   |              |   | 11,891 |   |
| Total      Deferred Credits and Other Liabilities                                                            |   |              | 311,848   |   |              |   | 377,173 |   |
|                                                                                                         |   |              |      |   |              |   |   |   |
| Accumulated      Deferred Income Tax                                                                         |   |              | 147,095   |   |              |   | 138,074 |   |
|                                                                                                         |   |              |      |   |              |   |   |   |
| Commitments      and Contingencies                                                                           |   |              |      |   |              |   |   |   |
|                                                                                                         |   |              |      |   |              |   |   |   |
| Total      Capitalization and Liabilities                                                                    |   | $                 | 1,485,600 |   |              | $      | 1,492,196 |   |

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CENTRAL HUDSON 

|                                             |   | Central      Hudson Common Shareholders                                 |       |   |                |   |
|--------------------------------------------------|--------|-------------------------------------------------------------------------|------------|--------|---------------------|--------|
|                                             |   | Common      Stock$5.00      par value;30,000,000      shares authorized |       |   | Treasury      Stock |   |   |   |   |   | Capital      Stock Expense |   |   |   |   |   | Accumulated      Other Comprehensive Income / (Loss) |   |   |   |   |
|                                             |   | Shares      Issued                                                      |       |   | Amount              |   |   | Shares      Repurchased |   |   | Amount |   |   | Paid-In      Capital |   |   | Retained      Earnings |   |   | Total      Equity |   |
| Balance      at January 1, 2007                  |   |                                                                    | 16,862,087 |   |                | $      | 84,311 |   |   |   | - |   |   | $ | - |   |   | $ | 174,980 |   |   | $ | (4,961 | ) |   | $ | 68,710 |   |   | $ | - |   |   | $ | 323,040 |   |
| Net      income                                  |   |                                                                    |       |   |                |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   | 33,436 |   |   |   |   |   |   |   | 33,436 |   |
| Dividends      declared                          |   |                                                                    |       |   |                |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| On      cumulative Preferred Stock               |   |                                                                    |       |   |                |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   | (970 | ) |   |   |   |   |   |   | (970 | ) |
| On      Common Stock to parent - CH Energy Group |   |                                                                    |       |   |                |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   | (8,500 | ) |   |   |   |   |   |   | (8,500 | ) |
| Balance      at December 31, 2007                |   |                                                                    | 16,862,087 |   |                | $      | 84,311 |   |   |   | - |   |   | $ | - |   |   | $ | 174,980 |   |   | $ | (4,961 | ) |   | $ | 92,676 |   |   | $ | - |   |   | $ | 347,006 |   |
| Net      income                                  |   |                                                                    |       |   |                |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   | 27,238 |   |   |   |   |   |   |   | 27,238 |   |
| Dividends      declared                          |   |                                                                    |       |   |                |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| On      cumulative Preferred Stock               |   |                                                                    |       |   |                |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   | (970 | ) |   |   |   |   |   |   | (970 | ) |
| On      Common Stock to parent - CH Energy Group |   |                                                                    |       |   |                |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   | - |   |   |   |   |   |   |   | - |   |
| Balance      at December 31, 2008                |   |                                                                    | 16,862,087 |   |                | $      | 84,311 |   |   |   | - |   |   | $ | - |   |   | $ | 174,980 |   |   | $ | (4,961 | ) |   | $ | 118,944 |   |   | $ | - |   |   | $ | 373,274 |   |
| Net      income                                  |   |                                                                    |       |   |                |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   | 32,776 |   |   |   |   |   |   |   | 32,776 |   |
| Dividends      declared                          |   |                                                                    |       |   |                |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| On      cumulative Preferred Stock               |   |                                                                    |       |   |                |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   | (970 | ) |   |   |   |   |   |   | (970 | ) |
| On      Common Stock to parent - CH Energy Group |   |                                                                    |       |   |                |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   | - |   |   |   |   |   |   |   | - |   |
| Additional      Paid-in Capital                  |   |                                                                    |       |   |                |   |   |   |   |   |   |   |   |   |   |   |   |   | 25,000 |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   | 25,000 |   |
| Balance      at December 31, 2009                |   |                                                                    | 16,862,087 |   |                | $      | 84,311 |   |   |   | - |   |   | $ | - |   |   | $ | 199,980 |   |   | $ | (4,961 | ) |   | $ | 150,750 |   |   | $ | - |   |   | $ | 430,080 |   |

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| Company             | Valuation Method           |
|---------------------|----------------------------|
| Central      Hudson | Average      cost          |
| Griffith            | FIFO                       |
| Lyonsdale           | Weighted      average cost |

| CH Energy Group                       |              |   |              |   |   |   |
|---------------------------------------|-------------------|--------|-------------------|--------|--------|--------|
|                                  | December      31, |   | December      31, |   |
|                                  | 2009              |   | 2008              |   |
| Natural      gas                      |              | $      | 12,020            |   |   | $      | 22,684 |   |
| Petroleum      products and propane   |              |   | 2,583             |   |   |   | 2,782 |   |
| Fuel      used in electric generation |              |   | 480               |   |   |   | 586 |   |
| Materials      and supplies           |              |   | 9,758             |   |   |   | 10,533 |   |
| Total                                 |              | $      | 24,841            |   |   | $      | 36,585 |   |

| Central Hudson                        |              |   |              |   |   |   |
|---------------------------------------|-------------------|--------|-------------------|--------|--------|--------|
|                                  | December      31, |   | December      31, |   |
|                                  | 2009              |   | 2008              |   |
| Natural      gas                      |              | $      | 12,020            |   |   | $      | 22,684 |   |
| Petroleum      products and propane   |              |   | 547               |   |   |   | 550 |   |
| Fuel      used in electric generation |              |   | 308               |   |   |   | 343 |   |
| Materials      and supplies           |              |   | 8,430             |   |   |   | 7,538 |   |
| Total                                 |              | $      | 21,305            |   |   | $      | 31,115 |   |

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|                                              |   | Estimated          |   |   | Utility      Plant |    |
|---------------------------------------------------|--------|--------------------|--------|--------|--------------------|---------|
|                                              |   | Depreciable        |   |   | December      31,  |    |
|                                              |   | Life      in Years |   |   | 2009               |    |   | 2008 |   |
| Electric                                          |   |               |   |   |               |    |   |   |   |
| Production                                        |   | 25-75              |   |   | $                  | 33,837  |   |   | $ | 32,110 |   |
| Transmission                                      |   | 28-70              |   |   |               | 209,381 |   |   |   | 199,463 |   |
| Distribution                                      |   | 7-80               |   |   |               | 664,641 |   |   |   | 630,021 |   |
| Other                                             |   | 37                 |   |   |               | 948     |   |   |   | 871 |   |
| Total                                             |   |               |   |   | $                  | 908,807 |   |   | $ | 862,465 |   |
|                                              |   |               |   |   |               |    |   |   |   |   |   |
| Natural      Gas                                  |   |               |   |   |               |    |   |   |   |   |   |
| Production                                        |   | 25-60              |   |   | $                  | 5,464   |   |   | $ | 5,414 |   |
| Transmission                                      |   | 18-70              |   |   |               | 45,016  |   |   |   | 43,796 |   |
| Distribution                                      |   | 25-70              |   |   |               | 230,217 |   |   |   | 214,172 |   |
| Other                                             |   | N/A                |   |   |               | 442     |   |   |   | 492 |   |
| Total                                             |   |               |   |   | $                  | 281,139 |   |   | $ | 263,874 |   |
|                                              |   |               |   |   |               |    |   |   |   |   |   |
| Common                                            |   |               |   |   |               |    |   |   |   |   |   |
| Land      and Structures                          |   | 50                 |   |   | $                  | 55,579  |   |   | $ | 54,084 |   |
| Office      and Other Equipment, Radios and Tools |   | 8-35               |   |   |               | 35,566  |   |   |   | 36,074 |   |
| Transportation      Equipment                     |   | 10-12              |   |   |               | 41,450  |   |   |   | 40,390 |   |
| Other                                             |   | 5                  |   |   |               | 7,159   |   |   |   | 5,184 |   |
| Total                                             |   |               |   |   | $                  | 139,754 |   |   | $ | 135,732 |   |

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|                                                                                    |   | Year      Ended December 31, |   |
|-----------------------------------------------------------------------------------------|--------|------------------------------|--------|
|                                                                                    |   | 2009                         |   |   | 2008 |   |   | 2007 |   |
|                                                                                    |   | Avg.                         |   |   | Net |   |   | Earnings |   |   | Avg. |   |   | Net |   |   | Earnings |   |   | Avg. |   |   | Net |   |   | Earnings |   |
|                                                                                    |   | Shares                       |   |   | Income |   |   | Per      Share |   |   | Shares |   |   | Income |   |   | Per      Share |   |   | Shares |   |   | Income |   |   | Per      Share |   |
| Earnings      attributable to Common Stock - continuing operations                      |   |                         |   |   | $ | 33,633 |   |   |   |   |   |   |   |   | $ | 31,536 |   |   |   |   |   |   |   |   | $ | 41,155 |   |   |   |   |
| Earnings      attributable to Common Stock - discontinued operations                    |   |                         |   |   | $ | 9,851 |   |   |   |   |   |   |   |   | $ | 3,545 |   |   |   |   |   |   |   |   | $ | 1,481 |   |   |   |   |
| Average      number of common shares outstanding - basic - continuing      operations   |   |                         | 15,775 |   |   |   |   |   |   | $ | 2.13 |   |   |   | 15,768 |   |   |   |   |   |   | $ | 2.00 |   |   |   | 15,762 |   |   |   |   |   |   | $ | 2.61 |   |
| Average      number of common shares outstanding - basic - discontinued      operations |   |                         | 15,775 |   |   |   |   |   |   | $ | 0.63 |   |   |   | 15,768 |   |   |   |   |   |   | $ | 0.22 |   |   |   | 15,762 |   |   |   |   |   |   | $ | 0.09 |   |
| Average      dilutive effect of:                                                        |   |                         |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Stock      options(1)      (2)                                                          |   |                         | -      |   |   |   | 1 |   |   |   | - |   |   |   | - |   |   |   | (1 | ) |   |   | - |   |   |   | 1 |   |   |   | (31 | ) |   |   | - |   |
| Performance      shares(2)                                                              |   |                         | 65     |   |   |   | - |   |   |   | - |   |   |   | 25 |   |   |   | - |   |   |   | - |   |   |   | 16 |   |   |   | - |   |   |   | - |   |
| Restricted      shares(2)                                                               |   |                         | 41     |   |   |   | - |   |   |   | - |   |   |   | 12 |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | - |   |
| Average      number of common shares outstanding - diluted                              |   |                         | 15,881 |   |   | $ | 43,485 |   |   | $ | 2.74 |   |   |   | 15,805 |   |   | $ | 35,080 |   |   | $ | 2.22 |   |   |   | 15,779 |   |   | $ | 42,605 |   |   | $ | 2.70 |   |

| (1) | For      2009, 2008 and 2007, certain stock options have been excluded from the      computation of diluted earnings per share because the exercise prices were      greater than the average market price of the Common Stock shares for each      of the years presented.  The number of Common Stock shares      represented by the options excluded from the above calculation were 17,420      shares for 2009,  39,980 shares for 2008 and 18,420 shares for      2007. |
|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (2) | See      Note 11 - “Equity-Based Compensation” for additional information regarding      stock options, performance shares and restricted  shares. |
|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------|

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|                                                   |   | December      31, |    |   |   | December      31, |   |
|--------------------------------------------------------|--------|-------------------|---------|--------|--------|-------------------|--------|
|                                                   |   | 2009              |    |   |   | 2008              |   |
| Regulatory Assets (Debits):                            |   |              |    |   |   |              |   |
| Current:                                               |   |              |    |   |   |              |   |
| Deferred      purchased electric and natural gas costs |   | $                 | 27,610  |   |   |              | $      | 41,931 |   |
| Deferred      unrealized losses on derivatives         |   |              | 13,161  |   |   |              |   | 15,759 |   |
| PSC      tax surcharge                                 |   |              | 11,186  |   |   |              |   | - |   |
| Revenue      decoupling mechanism ("RDM")              |   |              | 5,121   |   |   |              |   | - |   |
| Residual      natural gas deferred balances            |   |              | 2,825   |   |   |              |   | 2,812 |   |
| Other                                                  |   |              | 90      |   |   |              |   | - |   |
|                                                   |   |              | 59,993  |   |   |              |   | 60,502 |   |
| Long-term:                                             |   |              |    |   |   |              |   |   |   |
| Deferred      pension costs                            |   |              | 168,705 |   | (1)    |              |   | 197,934 |   |
| Carrying      charges - pension reserve                |   |              | 1,297   |   | (1)    |              |   | 10,642 |   |
| Deferred      costs - MGP site remediation             |   |              | 20,530  |   | (1)    |              |   | 30,397 |   |
| Deferred      OPEB costs                               |   |              | -       |   | (1)    |              |   | 4,257 |   |
| Deferred      debt expense on re-acquired debt         |   |              | 4,874   |   |   |              |   | 5,442 |   |
| Residual      natural gas deferred balances            |   |              | 17,583  |   |   |              |   | 22,825 |   |
| Income      taxes recoverable through future rates     |   |              | 28,658  |   |   |              |   | 26,874 |   |
| Uncollectible      Deferral                            |   |              | 3,360   |   |   |              |   | - |   |
| Storm      costs                                       |   |              | -       |   | (1)    |              |   | 3,085 |   |
| Other                                                  |   |              | 7,389   |   | (1)    |              |   | 10,478 |   |
|                                                   |   |              | 252,396 |   |   |              |   | 311,934 |   |
| Total      Regulatory Assets                           |   | $                 | 312,389 |   |   |              | $      | 372,436 |   |
|                                                   |   |              |    |   |   |              |   |   |   |
| Regulatory Liabilities      (Credits):                 |   |              |    |   |   |              |   |   |   |
| Current:                                               |   |              |    |   |   |              |   |   |   |
| Excess      electric depreciation reserve              |   | $                 | 19,296  |   |   |              | $      | - |   |
| Income      taxes refundable through future rates      |   |              | 5,456   |   |   |              |   | 4,275 |   |
| Deferred      unbilled gas revenues                    |   |              | 5,222   |   |   |              |   | 4,449 |   |
|                                                   |   |              | 29,974  |   |   |              |   | 8,724 |   |
| Long-term:                                             |   |              |    |   |   |              |   |   |   |
| Customer      benefit fund                             |   |              | 3,792   |   |   |              |   | 4,266 |   |
| Deferred      cost of removal                          |   |              | 46,955  |   |   |              |   | 47,630 |   |
| Excess      electric depreciation reserve              |   |              | 12,965  |   |   |              |   | 32,313 |   |
| Income      taxes refundable through future rates      |   |              | 18,611  |   |   |              |   | 19,756 |   |
| Deferred      OPEB costs                               |   |              | 1,521   |   | (1)    |              |   | - |   |
| Carrying      charges - OPEB reserve                   |   |              | 1,469   |   | (1)    |              |   | 5,633 |   |
| Other                                                  |   |              | 7,665   |   | (1)    |              |   | 16,846 |   |
|                                                   |   |              | 92,978  |   |   |              |   | 126,444 |   |
| Total      Regulatory Liabilities                      |   | $                 | 122,952 |   |   |              | $      | 135,168 |   |
|                                                   |   |              |    |   |   |              |   |   |   |
| Net      Regulatory Assets                             |   | $                 | 189,437 |   |   |              | $      | 237,268 |   |

| (1) | Effective July 1, 2009, Central      Hudson offset all or a portion of certain regulatory assets and      liabilities, including full offset of the June 30, 2009 balances for      Carrying charges - OPEB reserve, Carrying charges - pension reserve and      Storm costs in accordance with the 2009 Rate  Order. |
|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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| Balances      with offsetting accrued liability balances recoverable when future costs      are actually incurred: |   |   |    |
|--------------------------------------------------------------------------------------------------------------------|--------|--------|---------|
| Deferred      pension related to underfunded status                                                                |   | $      | 164,644 |   |
| Income      taxes recoverable through future rates                                                                 |   |   | 28,658  |   |
| Deferred      costs - MGP sites                                                                                    |   |   | 20,230  |   |
| Other                                                                                                              |   |   | 4,529   |   |
|                                                                                                               |   |   | 218,061 |   |
|                                                                                                               |   |   |    |   |
| Balances      earning a return via inclusion in rates and/or the application of carrying      charges:             |   |   |    |   |
| Residual      natural gas deferred balances                                                                        |   |   | 17,476  |   |
| Deferred      pension costs undercollected(1)                                                                      |   |   | 4,061   |   |
| PSC      tax surcharge                                                                                             |   |   | 10,947  |   |
| Uncollectible      deferral(2)                                                                                     |   |   | 3,327   |   |
| Other(1)                                                                                                           |   |   | 8,130   |   |
|                                                                                                               |   |   | 43,941  |   |
|                                                                                                               |   |   |    |   |
| Subject      to current recovery:                                                                                  |   |   |    |   |
| Deferred      purchased electric and natural gas costs                                                             |   |   | 40,770  |   |
| Residual      natural gas deferred balances                                                                        |   |   | 2,825   |   |
| RDMs                                                                                                               |   |   | 5,031   |   |
|                                                                                                               |   |   | 48,626  |   |
|                                                                                                               |   |   |    |   |
| Accumulated      carrying charges:(1)                                                                              |   |   |    |   |
| Pension      reserve                                                                                               |   |   | 1,297   |   |
| Other                                                                                                              |   |   | 464     |   |
|                                                                                                               |   |   | 1,761   |   |
|                                                                                                               |   |   |    |   |
| Total      Regulatory Assets                                                                                       |   | $      | 312,389 |   |

| (1) | Subject      to recovery in Central Hudson's future rate  proceedings. |
|-----|------------------------------------------------------------------------|

| (2) | PSC      approval has been obtained for $0.5 million related to gas uncollectible      expenses incurred for the calendar year ended December 31,      2008.  $2.8 million of this balance relates to the twelve months      ended June 30, 2009 for electric uncollectible expenses and six months      ended June 30, 2009 for gas uncollectible expenses and is subject to      recovery in Central Hudson's filedpetition. |
|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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|   | · | Electric      delivery revenues increase of $53.7 million over the three-year term with      annual rate increases of approximately $17.9 million on July 1, 2006, July      1, 2007, and July 1, 2008. |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Natural      gas delivery revenues increase by $14.1 million with rate increases of $8      million on July 1, 2006 and $6.1 million on July 1,  2007. |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Delivery      rates based on a ROE of 9.6% with an earnings sharing threshold of 10.6%,      above which Central Hudson is to share 50% with its      customers.  Earnings above 11.6% are shared 65% with customers      and earnings above 14.0% are allocated entirely to    customers. |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Limits      on Central Hudson’s ability to defer certain costs if earnings exceed an      11.0% ROE.  However, these deferral limitations could not cause      earnings to be reduced below 11.0%. |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Rates      based on a capital structure that includes 45% common      equity.  However, the actual proportion of common equity, up to      a limit of 47%, was used to determine the ROE for the purpose of earnings      sharing. |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Continued      full recovery of all purchased natural gas and electricity costs through      existing monthly supply cost recovery  mechanisms. |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Established      targets for electric, natural gas, and common plant expenditures, and      increased allowances for the recovery of operating costs, including      transmission and distribution Right-of-Way (“ROW”) maintenance      expenses.  The capital expenditure targets were subject to      true-up provisions, requiring deferral of 150% of the revenue requirement      of any shortfalls in spending over the 2006 Rate Order’s three-year term,      if such shortfall existed at June 30,2009. |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Transmission      and distribution ROW maintenance expenses were also subject to true-up      provisions over the 2006 Rate Order’s three-year term, requiring the      deferral of shortfalls in actual expenditures, if such shortfall existed      at June 30, 2009. |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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|   | · | Increased      rate allowances and continued deferral accounting authorization for the      recovery of expenses for pensions, OPEB, stray voltage testing, MGP site      remediation, and certain other expenseitems. |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Additional      funding to assist low-income customers in paying their energy bills as      well as continued funding of programs to encourage customers to explore      new opportunities available through the competitive retail supply      markets. |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Penalty-only      performance mechanisms with established targets for specified levels of      performance related to customer service quality, natural gas safety, and      electric reliability measures. |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | No      penalties were recorded in 2009, 2008 and2007. |
|--------|--------|--------------------------------------------------------|

|   | · | Electric      delivery increase of $39.6 million moderated by a $20.0 million customer      bill credit from the excess depreciation  reserve. |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Natural      gas delivery increase of $13.8million. |
|--------|--------|-----------------------------------------------------|

|   | · | Delivery      rates based on a ROE of 10.0%. |
|--------|--------|----------------------------------------------|

|   | · | Common      equity layer of 47% of permanentcapital. |
|--------|--------|------------------------------------------------------|

|   | · | RDM      for both electric and gas deliveryservice. |
|--------|--------|-----------------------------------------------------|

|   | · | Continued      funding for the full recovery of the Company’s current pension and OPEB      costs and continued deferral authorization for pensions, OPEBs, research      and development costs, stray voltage testing, MGP site remediation      expenditures and electric and gas supply cost recovery and variable rate      debt. |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | New      deferral authorizations for: fixed debt costs; the costs to bring electric      lines into compliance with current height above ground requirements; and      the New York State TemporaryAssessment. |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Continuation,      with minor modifications, of the Company’s Electric Reliability, Gas      Safety and Customer Service performance  mechanisms. |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Recovery      through offset against a deferred liability account (non-cash) of the $3.3      million in incremental storm restoration costs incurred from the December      2008 ice storm. |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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NOTE 3 - NEWACCOUNTING 

| Category                                |   | AccountingReference  |   | Title                                                                                                                                                                                                                              |   | Issued      Date |   | Effective      Date |
|-----------------------------------------|--------|----------------------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|------------------|--------|---------------------|
| Under      Assessment(1)                |   |                 |   |                                                                                                                                                                                                                               |   |             |
| Variable      Interest Entities         |   | SFAS      No. 167    |   | Amendments      to ASC 810-10-25-38                                                                                                                                                                                                |   | Jun-09           |   | Jan-10              |
| Implemented(2)                          |   |                 |   |                                                                                                                                                                                                                               |   |             |
| Postretirement      Benefit Plan Assets |   | ASC      715-20-65-2 |   | Employers'      Disclosures about Postretirement Benefit Plan Assets                                                                                                                                                               |   | Dec-08           |   | Dec-09              |
| Fair      Value Measurement             |   | ASU      No. 2009-05 |   | Amendments      to ASC 820-10 - Fair Value Measurements and Disclosures-Overall, for the      fair value measurement of liabilities                                                                                                |   | Aug-09           |   | Dec-09              |
| GAAP      Hierarchy                     |   | SFAS      No. 168    |   | The      FASB Accounting Standards Codification and the Hierarchy of Generally      Accepted Accounting Principles - a replacement of SFAS No.    162                                                                              |   | Jun-09           |   | Sep-09              |
| Subsequent      Events                  |   | ASC      855         |   | Subsequent      Events                                                                                                                                                                                                             |   | May-09           |   | Jun-09              |
| Business      Combinations              |   | ASC      805         |   | Business      Combinations                                                                                                                                                                                                         |   | Apr-09           |   | Jan-09              |
| Business      Combinations              |   | ASC      805         |   | Business      Combinations                                                                                                                                                                                                         |   | Dec-07           |   | Jan-09              |
| Fair      Value Measurement             |   | ASC      820         |   | Fair      Value Measurements and Disclosures                                                                                                                                                                                       |   | Apr-09           |   | Jun-09              |
| Liabilities      Measured at Fair Value |   | ASC      820         |   | Fair      Value Measurement and Disclosures (encompassing Issuer's Accounting for      Liabilities Measured at Fair Value with a Third-Party Credit      Enhancement)                                                              |   | Sep-08           |   | Jan-09              |
| Other-Than-Temporary-Investments        |   | ASC      320         |   | Investments      - Debt and Equity Securities                                                                                                                                                                                      |   | Apr-09           |   | Jun-09              |
| Financial      Instruments              |   | ASC      825         |   | Financial      Instruments                                                                                                                                                                                                         |   | Apr-09           |   | Jun-09              |
| Equity      Method Investments          |   | ASC      323-10      |   | Investments      - Equity Method                                                                                                                                                                                                   |   | Nov-08           |   | Jan-09              |
| Credit      Derivatives                 |   | ASC      815-10-65-2 |   | Disclosures      About Credit Derivatives and Certain Guarantees:  An Amendment      of FASB Statement No. 133 and FASB Interpretation No. 45; and      Clarification of the Effective Date of FASB Statement No.    161 |   | Sep-08           |   | Jan-09              |
| Derivative      Instruments             |   | ASC      815         |   | Derivatives      and Hedging                                                                                                                                                                                                       |   | Mar-08           |   | Jan-09              |
| Share-Based      Payments               |   | ASC      260-10-55   |   | Participating      Share-Based Payment Awards                                                                                                                                                                                      |   | Jun-08           |   | Jan-09              |
| Noncontrolling      Interests           |   | ASC      810-10-65-1 |   | Transition      Related to FASB Statement No. 160, Noncontrolling Interests in      Consolidated Financial Statements - an amendment of ARB No.    51                                                                              |   | Dec-07           |   | Jan-09              |
| Intangible      Assets                  |   | ASC      350-30      |   | General      Intangibles Other than Goodwill                                                                                                                                                                                       |   | Nov-07           |   | Jan-09              |
| Not Currently      Applicable(3)        |   |                 |   |                                                                                                                                                                                                                               |   |             |
| Financial      Assets                   |   | SFAS      No. 166    |   | Accounting      for Transfers of Financial Assets - an amendment of FAS140                                                                                                                                                         |   | Jun-09           |   | Jan-10              |

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NOTE 4 -INCOME 

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|                                    |   | Year      Ended December 31, |   |
|-----------------------------------------|--------|------------------------------|--------|
|                                    |   | 2009                         |   |   | 2008 |   |   | 2007 |   |
| Federal      income tax                 |   | $                            | 7,747  |   |   | $ | 6,611 |   |   | $ | 14,630 |   |
| State      income tax                   |   |                         | 4,120  |   |   |   | 1,285 |   |   |   | 1,919 |   |
| Deferred      federal income tax        |   |                         | 14,951 |   |   |   | 12,403 |   |   |   | 4,636 |   |
| Deferred      state income tax          |   |                         | 563    |   |   |   | 1,530 |   |   |   | 713 |   |
|    Total      income tax |   | $                            | 27,381 |   |   | $ | 21,829 |   |   | $ | 21,898 |   |

|                                             |   | Year      Ended December 31, |   |
|--------------------------------------------------|--------|------------------------------|--------|
|                                             |   | 2009                         |   |   | 2008 |   |   | 2007 |   |
| Net      income attributable to CH Energy Group  |   | $                            | 43,484 |   |   | $ | 35,081 |   |   | $ | 42,636 |   |
| Preferred      Stock dividends of Central Hudson |   |                         | 970    |   |   |   | 970 |   |   |   | 970 |   |
| Non-controlling      interest in subsidiary      |   |                         | (176   | ) |   |   | 103 |   |   |   | (121 | ) |
| Federal      income tax                          |   |                         | 7,747  |   |   |   | 6,611 |   |   |   | 14,630 |   |
| State      income tax                            |   |                         | 4,120  |   |   |   | 1,285 |   |   |   | 1,919 |   |
| Deferred      federal income tax                 |   |                         | 14,951 |   |   |   | 12,403 |   |   |   | 4,636 |   |
| Deferred      state income tax                   |   |                         | 563    |   |   |   | 1,530 |   |   |   | 713 |   |
| Income      before taxes                         |   | $                            | 71,659 |   |   | $ | 57,983 |   |   | $ | 65,383 |   |
|                                             |   |                         |   |   |   |   |   |   |   |   |   |   |
| Computed      federal tax at 35% statutory rate  |   | $                            | 25,081 |   |   | $ | 20,294 |   |   | $ | 22,884 |   |
| State      income tax net of federal tax benefit |   |                         | 3,559  |   |   |   | 2,137 |   |   |   | 1,812 |   |
| Depreciation      flow-through                   |   |                         | 2,906  |   |   |   | 2,738 |   |   |   | 2,437 |   |
| Cost      of Removal                             |   |                         | (1,524 | ) |   |   | (1,432 | ) |   |   | (1,185 | ) |
| Production      tax credits                      |   |                         | (1,402 | ) |   |   | (1,606 | ) |   |   | (1,366 | ) |
| Other                                            |   |                         | (1,239 | ) |   |   | (302 | ) |   |   | (2,684 | ) |
| Total      income tax                            |   | $                            | 27,381 |   |   | $ | 21,829 |   |   | $ | 21,898 |   |
|                                             |   |                         |   |   |   |   |   |   |   |   |   |   |
| Effective      tax rate - federal                |   |                         | 31.7   | % |   |   | 32.8 | % |   |   | 29.5 | % |
| Effective      tax rate - state                  |   |                         | 6.5    | % |   |   | 4.8 | % |   |   | 4.0 | % |
| Effective      tax rate - combined               |   |                         | 38.2   | % |   |   | 37.6 | % |   |   | 33.5 | % |

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|                                             |   |              |    |   |   |   |
|--------------------------------------------------|--------|-------------------|---------|--------|--------|--------|
|                                             |   | December      31, |    |
|                                             |   | 2009              |    |   | 2008   |   |
| Accumulated      Deferred Income Tax Asset:      |   |              |    |   |   |   |
| Excess      depreciation reserve                 |   | $                 | 12,780  |   |   | $      | 12,801 |   |
| Unbilled      revenues                           |   |              | 10,711  |   |   |   | 16,778 |   |
| Plant-related                                    |   |              | 10,742  |   |   |   | 10,393 |   |
| OPEB      expense                                |   |              | 23,165  |   |   |   | 21,721 |   |
| Other                                            |   |              | 40,842  |   |   |   | 48,162 |   |
| Accumulated      Deferred Income Tax Asset:      |   |              | 98,240  |   |   |   | 109,855 |   |
|                                             |   |              |    |   |   |   |   |   |
| Accumulated      Deferred Income Tax Liability:  |   |              |    |   |   |   |   |   |
| Depreciation                                     |   |              | 165,491 |   |   |   | 147,982 |   |
| Repair      Allowance                            |   |              | 11,292  |   |   |   | 11,856 |   |
| Pension      expense                             |   |              | 5,691   |   |   |   | 12,641 |   |
| Residual      deferred gas balance               |   |              | 8,041   |   |   |   | 10,083 |   |
| Other                                            |   |              | 65,508  |   |   |   | 73,898 |   |
| Accumulated      Deferred Income Tax Liability   |   |              | 256,023 |   |   |   | 256,460 |   |
| Net      Deferred Income Tax Liability           |   |              | 157,783 |   |   |   | 146,605 |   |
| Net      Current Deferred Income Tax Asset       |   |              | 300     |   |   |   | 7,498 |   |
| Net      Long-term Deferred Income Tax Liability |   | $                 | 158,083 |   |   | $      | 154,103 |   |

|                             |   | Year      Ended December 31, |   |
|----------------------------------|--------|------------------------------|--------|
|                             |   | 2009                         |   |   | 2008 |   |   | 2007 |   |
| Federal      income tax          |   | $                            | (3     | ) |   | $ | 6,186 |   |   | $ | 13,944 |   |
| State      income tax            |   |                         | 1,135  |   |   |   | 1,712 |   |   |   | 3,277 |   |
| Deferred      federal income tax |   |                         | 18,538 |   |   |   | 10,496 |   |   |   | 2,814 |   |
| Deferred      state income tax   |   |                         | 1,472  |   |   |   | 879 |   |   |   | 291 |   |
| Total      income tax            |   | $                            | 21,142 |   |   | $ | 19,273 |   |   | $ | 20,326 |   |

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|                                             |   | Year      Ended December 31, |   |
|--------------------------------------------------|--------|------------------------------|--------|
|                                             |   | 2009                         |   |   | 2008 |   |   | 2007 |   |
| Net      income                                  |   | $                            | 32,776 |   |   | $ | 27,238 |   |   | $ | 33,436 |   |
| Federal      income tax                          |   |                         | (3     | ) |   |   | 6,186 |   |   |   | 13,944 |   |
| State      income tax                            |   |                         | 1,135  |   |   |   | 1,712 |   |   |   | 3,277 |   |
| Deferred      federal income tax                 |   |                         | 18,538 |   |   |   | 10,496 |   |   |   | 2,814 |   |
| Deferred      state income tax                   |   |                         | 1,472  |   |   |   | 879 |   |   |   | 291 |   |
| Income      before taxes                         |   | $                            | 53,918 |   |   | $ | 46,511 |   |   | $ | 53,762 |   |
|                                             |   |                         |   |   |   |   |   |   |   |   |   |   |
| Computed      federal tax at 35% statutory rate  |   | $                            | 18,871 |   |   | $ | 16,279 |   |   | $ | 18,817 |   |
| State      income tax net of federal tax benefit |   |                         | 2,210  |   |   |   | 1,992 |   |   |   | 2,421 |   |
| Depreciation      flow-through                   |   |                         | 2,906  |   |   |   | 2,738 |   |   |   | 2,437 |   |
| Cost      of Removal                             |   |                         | (1,524 | ) |   |   | (1,432 | ) |   |   | (1,185 | ) |
| Other                                            |   |                         | (1,321 | ) |   |   | (304 | ) |   |   | (2,164 | ) |
| Total      income tax                            |   | $                            | 21,142 |   |   | $ | 19,273 |   |   | $ | 20,326 |   |
|                                             |   |                         |   |   |   |   |   |   |   |   |   |   |
| Effective      tax rate - federal                |   |                         | 34.4   | % |   |   | 35.8 | % |   |   | 31.2 | % |
| Effective      tax rate - state                  |   |                         | 4.8    | % |   |   | 5.6 | % |   |   | 6.6 | % |
| Effective      tax rate - combined               |   |                         | 39.2   | % |   |   | 41.4 | % |   |   | 37.8 | % |

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|                                                   |   | December      31, |    |
|--------------------------------------------------------|--------|-------------------|---------|
|                                                   |   | 2009              |    |   | 2008 |   |
| Accumulated      Deferred Income Tax Asset:            |   |              |    |   |   |   |
| Unbilled      revenues                                 |   | $                 | 10,711  |   |   | $ | 16,778 |   |
| Plant-related                                          |   |              | 10,742  |   |   |   | 10,393 |   |
| OPEB      expense                                      |   |              | 23,165  |   |   |   | 21,721 |   |
| Excess      depreciation reserve                       |   |              | 12,780  |   |   |   | 12,801 |   |
| Other                                                  |   |              | 38,660  |   |   |   | 45,350 |   |
| Accumulated      Deferred Income Tax Asset:            |   |              | 96,058  |   |   |   | 107,043 |   |
|                                                   |   |              |    |   |   |   |   |   |
| Accumulated      Deferred Income Tax Liability:        |   |              |    |   |   |   |   |   |
| Depreciation                                           |   |              | 164,904 |   |   |   | 145,721 |   |
| Repair      Allowance                                  |   |              | 11,293  |   |   |   | 11,856 |   |
| Pension      expense                                   |   |              | 5,691   |   |   |   | 12,641 |   |
| Residual      deferred gas balance                     |   |              | 8,041   |   |   |   | 10,083 |   |
| Other                                                  |   |              | 55,107  |   |   |   | 60,131 |   |
| Accumulated      Deferred Income Tax Liability         |   |              | 245,036 |   |   |   | 240,432 |   |
| Net      Deferred Income Tax Liability                 |   |              | 148,978 |   |   |   | 133,389 |   |
| Net      Current Deferred Income Tax Liability (Asset) |   |              | (1,883  | ) |   |   | 4,685 |   |
| Net      Long-term Deferred Income Tax Liability       |   | $                 | 147,095 |   |   | $ | 138,074 |   |

NOTE 5 

|                   |   | #      of |   |     |   |   |       | Total  |     |   |   |   |     | Total  |   |
|------------------------|--------|-----------|--------|----------|--------|--------|------------|--------|----------|--------|--------|--------|----------|--------|--------|
|                   |   | Acquired  |   | Purchase |   |   | Intangible |   |     |   |   |   | Tangible |   |
| Year      Ended        |   | Companies |   | Price    |   |   | Assets(1)  |   | Goodwill |   |   | Assets |     |
| December      31, 2009 |   |      | -      |     |   | $      | -          |   |     | $      | -      |   |     | $      | -      |   |   | $ | - |   |
| December      31, 2008 |   |      | 4      |     |   | $      | 9.3        |   |     | $      | 8.5    |   |     | $      | 4.0    |   |   | $ | 0.8 |   |
| December      31, 2007 |   |      | 13     |     |   | $      | 25.6       |   |     | $      | 22.1   |   |     | $      | 10.6   |   |   | $ | 3.5 |   |
| Total                  |   |      | 17     |     |   | $      | 34.9       |   |     | $      | 30.6   |   |     | $      | 14.6   |   |   | $ | 4.3 |   |

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|                                                 |   | Year      Ended December 31, |    |
|------------------------------------------------------|--------|------------------------------|---------|
|                                                 |   | 2009                         |    |   | 2008 |   |   | 2007 |   |
| Revenues      from discontinued operations           |   | $                            | 122,675 |   |   | $ | 193,650 |   |   | $ | 117,990 |   |
| Income      from discontinued operations before tax  |   |                         | 6,073   |   |   |   | 6,060 |   |   |   | 2,419 |   |
| Gain      from sale of discontinued operations       |   |                         | 10,767  |   |   |   | - |   |   |   | - |   |
| Income      tax expense from discontinued operations |   |                         | 6,989   |   |   |   | 2,515 |   |   |   | 938 |   |

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NOTE 6 

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|                          |   | Gross      Carrying Amount |   |   | Accumulated      Amortization |   |   | Net    |   |
|-------------------------------|--------|----------------------------|--------|--------|-------------------------------|--------|--------|--------|--------|
| Customer      relationships   |   | $                          | 21,420 |   |                          | $      | 6,850  |   |   | $ | 14,570 |   |
| Trademarks                    |   |                       | 2,956  |   |                          |   | 624    |   |   |   | 2,332 |   |
| Covenants      not to compete |   |                       | 1,505  |   |                          |   | 1,097  |   |   |   | 408 |   |
| Total                         |   | $                          | 25,881 |   |                          | $      | 8,571  |   |   | $ | 17,310 |   |

|                               |   | December      31, 2009     |   |   | December      31, 2008        |   |
|------------------------------------|--------|----------------------------|--------|--------|-------------------------------|--------|
|                               |   | Gross      Carrying Amount |   |   | Accumulated      Amortization |   |   | Gross      Carrying Amount |   |   | Accumulated      Amortization |   |
| Customer      relationships        |   | $                          | 33,745 |   |                          | $      | 18,957 |   |   | $ | 55,171 |   |   | $ | 22,248 |   |
| Trademarks                         |   |                       | -      |   |                          |   | - |   |   |   | 2,956 |   |   |   | 372 |   |
| Covenants      not to compete      |   |                       | 100    |   |                          |   | 75 |   |   |   | 1,605 |   |   |   | 983 |   |
| Total      Amortizable Intangibles |   | $                          | 33,845 |   |                          | $      | 19,032 |   |   | $ | 59,732 |   |   | $ | 23,603 |   |

|                                |   | December      31, |    |   |   | December      31, |   |
|-------------------------------------|--------|-------------------|---------|--------|--------|-------------------|--------|
|                                |   | 2009              |    |   |   | 2008              |   |
| Balance      at Beginning of Period |   | $                 | 67,455  |   |   |              | $      | 63,433 |   |
| Acquisitions                        |   |              | -       |   |   |              |   | 4,022 |   |
| Divestitures                        |   |              | (31,804 | )      | (1)    |              |   | - |   |
| Balance      at End of Period       |   | $                 | 35,651  |   |   |              | $      | 67,455 |   |

NOTE 7 -

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NOTE 8 -CAPITALIZATION 

|   | Redemption |   |   | Shares      Outstanding |   |
|--------|------------|--------|--------|-------------------------|--------|
|   | Price      |   |   | December      31,       |   |
| Series | 12/31/09   |   |   | 2009                    |   |   | 2008 |   |
| 4.50%  |       | $      | 107.00 |                    |   |   | 70,285 |   |   |   | 70,285 |   |
| 4.75%  |       |   | 106.75 |                    |   |   | 19,980 |   |   |   | 19,980 |   |
| 4.35%  |       |   | 102.00 |                    |   |   | 60,000 |   |   |   | 60,000 |   |
| 4.96%  |       |   | 101.00 |                    |   |   | 60,000 |   |   |   | 60,000 |   |
|   |       |   |   |                    |   |   | 210,265 |   |   |   | 210,265 |   |

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NOTE 9

|                                    |   |               |   | December      31, |    |
|-----------------------------------------|--------|--------------------|--------|-------------------|---------|
| Series                                  |   | Maturity      Date |   | 2009              |    |   | 2008 |   |
| CH      Energy Group:                   |   |               |   |              |    |   |   |   |
|                                    |   |               |   |              |    |   |   |   |
| Promissory      Notes:                  |   |               |   |              |    |   |   |   |
| 2009      Series A (6.58%)              |   | Apr.      17, 2014 |   | $                 | 26,500  |   |   | $ | - |   |
| 2009      Series B (6.80%)              |   | Dec.      15, 2025 |   |              | 23,500  |   |   |   | - |   |
|                                    |   |               |   |              |    |   |   |   |   |   |
| CH      Energy Group Net Long-term debt |   |               |   | $                 | 50,000  |   |   | $ | - |   |
|                                    |   |               |   |              |    |   |   |   |   |   |
| Central      Hudson:                    |   |               |   |              |    |   |   |   |   |   |
|                                    |   |               |   |              |    |   |   |   |   |   |
| Promissory      Notes:                  |   |               |   |              |    |   |   |   |   |   |
| 1999      Series C (6.00%)              |   | Jan.      15, 2009 |   | $                 | -       |   |   | $ | 20,000 |   |
| 2003      Series D (4.33%)(4)           |   | Sep.      23, 2010 |   |              | 24,000  |   |   |   | 24,000 |   |
| 2002      Series D (6.64%)(4)           |   | Mar.      28, 2012 |   |              | 36,000  |   |   |   | 36,000 |   |
| 2008      Series F (6.854%)(2)          |   | Nov.      01, 2013 |   |              | 30,000  |   |   |   | 30,000 |   |
| 2004      Series D (4.73%)(4)           |   | Feb.      27, 2014 |   |              | 7,000   |   |   |   | 7,000 |   |
| 2004      Series E (4.80%)(5)           |   | Nov.      05, 2014 |   |              | 7,000   |   |   |   | 7,000 |   |
| 2007      Series F (6.028%)(2)          |   | Sep.      01, 2017 |   |              | 33,000  |   |   |   | 33,000 |   |
| 2004      Series E (5.05%)(5)           |   | Nov.      04, 2019 |   |              | 27,000  |   |   |   | 27,000 |   |
| 1999      Series A (5.45%)(1)           |   | Aug.      01, 2027 |   |              | 33,400  |   |   |   | 33,400 |   |
| 1999      Series C(1)(3)                |   | Aug.      01, 2028 |   |              | 41,150  |   |   |   | 41,150 |   |
| 1999      Series D(1)(3)                |   | Aug.      01, 2028 |   |              | 41,000  |   |   |   | 41,000 |   |
| 1998      Series A (6.50%)(1)           |   | Dec.      01, 2028 |   |              | 16,700  |   |   |   | 16,700 |   |
| 2006      Series E (5.76%)(5)           |   | Nov.      17, 2031 |   |              | 27,000  |   |   |   | 27,000 |   |
| 1999      Series B(1)(3)                |   | July      01, 2034 |   |              | 33,700  |   |   |   | 33,700 |   |
| 2005      Series E (5.84%)(5)           |   | Dec.      05, 2035 |   |              | 24,000  |   |   |   | 24,000 |   |
| 2007      Series F (5.804%)(2)          |   | Mar.      23, 2037 |   |              | 33,000  |   |   |   | 33,000 |   |
| 2009      Series F (5.80%)(2)           |   | Oct.      1, 2039  |   |              | 24,000  |   |   |   | - |   |
|                                    |   |               |   |              | 437,950 |   |   |   | 433,950 |   |
|                                    |   |               |   |              |    |   |   |   |   |   |
| Unamortized      Discount on Debt       |   |               |   |              | (53     | ) |   |   | (56 | ) |
| Total      Long-term debt               |   |               |   | $                 | 437,897 |   |   | $ | 433,894 |   |
|                                    |   |               |   |              |    |   |   |   |   |   |
| Less:      Current Portion              |   |               |   |              | (24,000 | ) |   |   | (20,000 | ) |
|                                    |   |               |   |              |    |   |   |   |   |   |
| Central      Hudson Net Long-term debt  |   |               |   | $                 | 413,897 |   |   | $ | 413,894 |   |

| (1) | Promissory      Notes issued in connection with the sale by NYSERDA of tax-exempt      pollution control revenue bonds. |
|-----|-------------------------------------------------------------------------------------------------------------------------|

| (2) | Issued      under Central Hudson’s medium-term note program, described      below. |
|-----|------------------------------------------------------------------------------------------|

| (3) | Variable      (auction) rate notes. |
|-----|-------------------------------------|

| (4) | Issued      pursuant to a 2001 PSC Order approving the issuance by Central Hudson      prior to June 30, 2004, of up to $100 million of unsecured medium-term      notes. |
|-----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (5) | Issued      pursuant to a 2004 PSC Order approving the issuance by Central Hudson      prior to December 31, 2006, of up to $85 million of unsecured medium-term      notes. |
|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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| Date                    |   | Amount      of Issuance |   | Term,      Rate      |   | Proceeds      Used for:                                                 |
|-------------------------|--------|-------------------------|--------|----------------------|--------|-------------------------------------------------------------------------|
| March      23, 2007     |   | $33,000,000             |   | 30-year,      5.80%  |   | Redemption      at maturity of $33,000,000 5-year, 5.87% Series D Notes |
|                    |   |                    |   |                 |   |                                                                    |
| September      14, 2007 |   | $33,000,000             |   | 10-year,      6.028% |   | Financing      ongoing investments in electric and natural gas systems  |
|                    |   |                    |   |                 |   |                                                                    |
| November      18, 2008  |   | $30,000,000             |   | 5-year,      6.854%  |   | Financing      ongoing investments in electric and natural gas systems  |
|                    |   |                    |   |                 |   |                                                                    |
| September      30, 2009 |   | $24,000,000             |   | 30-year,      5.80%  |   | Financing      ongoing investments in electric and natural gas  systems |

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NOTE 10 -

| Adjustment      for 3/15ths of net periodic pension costs                        |   | $      | 2,788  |   |
|----------------------------------------------------------------------------------|--------|--------|--------|--------|
| Adjustment      for amortization of prior service costs and actuarial losses (1) |   |   | (2,426 | )      |
| Net      increase to pension liability                                           |   | $      | 362    |   |

|  | (1)   | Liability      recognized previously on Consolidated Balance Sheet upon initial      implementation of ASC 715-20. |
|--|-----------------|--------------------------------------------------------------------------------------------------------------------|

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|                                                                                 |   | December      31, |     |   | December      31, |   |
|--------------------------------------------------------------------------------------|--------|-------------------|----------|--------|-------------------|--------|
|                                                                                 |   | 2009              |     |   | 2008              |   |
| Prefunded      (accrued) pension costs prior to funding status adjustment            |   | $                 | 11,661   |   |              | $      | 29,884 |   |
| Additional      liability required                                                   |   |              | (164,644 | )      |              |   | (192,084 | ) |
| Total      accrued pension liability                                                 |   | $                 | (152,983 | )      |              | $      | (162,200 | ) |
|                                                                                 |   |              |     |   |              |   |   |   |
| Total      offset to additional liability - Regulatory assets - Retirement      Plan |   | $                 | 164,644  |   |              | $      | 192,084 |   |

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| Asset      Class             |   | Minimum |   |   | Target      Average |   |   | Maximum |   |
|------------------------------|--------|---------|--------|--------|---------------------|--------|--------|---------|--------|
| Equity      Securities       |   |    | 55     | %      |                |   | 60     | %       |   |   | 65 | % |
| Debt      Securities         |   |    | 30     | %      |                |   | 35     | %       |   |   | 40 | % |
| Alternative      Investments |   |    | -      | %      |                |   | 5      | %       |   |   | 7 | % |

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| Investment      Type                      |   | Market      Value at 12/31/09 |    |   | %      of Total |   |
|-------------------------------------------|--------|-------------------------------|---------|--------|-----------------|--------|
| Level      2                              |   |                          |    |   |            |   |
| Investment      Funds - Equities          |   | $                             | 199,442 |   |            |   | 63 | % |
| Investment      Funds - Fixed Income      |   |                          | 100,312 |   |            |   | 32 | % |
| Level      3                              |   |                          |    |   |            |   |   |   |
| Alternative      Investment - Real Estate |   |                          | 14,498  |   |            |   | 5 | % |
|                                      |   | $                             | 314,252 |   |            |   | 100 | % |

|                                             |   | Year      EndedDecember      31, 2009 |   |
|--------------------------------------------------|--------|---------------------------------------|--------|
| Balance      at Beginning of Period              |   | $                                     | 24,129 |   |
| Unrealized      gains/(losses)                   |   |                                  | (8,555 | ) |
| Realized      losses                             |   |                                  | 195    |   |
| Purchases,      issuances, sales and settlements |   |                                  | (204   | ) |
| Transfers      in and/or out of Level 3          |   |                                  | (1,067 | ) |
| Balance      at End of Period                    |   | $                                     | 14,498 |   |

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| Asset      Class       |   | Minimum |   |   | Target      Average |   |   | Maximum |   |
|------------------------|--------|---------|--------|--------|---------------------|--------|--------|---------|--------|
| Equity      Securities |   |    | 55     | %      |                |   | 65     | %       |   |   | 75 | % |
| Debt      Securities   |   |    | 25     | %      |                |   | 35     | %       |   |   | 35 | % |

| 401 (h) Plan Assets                         |   |                          |   |   |            |   |
|---------------------------------------------|--------|-------------------------------|--------|--------|-----------------|--------|
| (Dollars      in Thousands)                 |   |                          |   |   |            |   |
|                                        |   |                          |   |   |            |   |
| Investment      Type                        |   | Market      Value at 12/31/09 |   |   | %      of Total |   |
| Level      2                                |   |                          |   |   |            |   |
| Investment      Funds - Equities            |   | $                             | 4,191  |   |            |   | 63 | % |
| Investment      Funds - Fixed Income        |   |                          | 2,108  |   |            |   | 32 | % |
| Level      3                                |   |                          |   |   |            |   |   |   |
| Alternative      Investment - (Real Estate) |   |                          | 305    |   |            |   | 5 | % |
|                                        |   | $                             | 6,604  |   |            |   | 100 | % |

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|                                             |   | Year      Ended December 31, 2009 |   |
|--------------------------------------------------|--------|-----------------------------------|--------|
| Balance      at Beginning of Period              |   | $                                 | 507    |   |
| Unrealized      gains/(losses)                   |   |                              | (180   | ) |
| Realized      losses                             |   |                              | 4      |   |
| Purchases,      issuances, sales and settlements |   |                              | (4     | ) |
| Transfers      in and/or out of Level 3          |   |                              | (22    | ) |
| Balance      at End of Period                    |   | $                                 | 305    |   |

| Investment      Type                                      |   | Market      Value at 12/31/09 |   |   | %      of Total |   |
|-----------------------------------------------------------|--------|-------------------------------|--------|--------|-----------------|--------|
| Level      1                                              |   |                          |   |   |            |   |
| Investment      Funds - Money Market Mutual Fund          |   | $                             | 6      |   |            |   | - | % |
| Investment      Funds - Fixed Income Mutual Funds         |   |                          | 640    |   |            |   | 35 | % |
| Investment      Funds - Equity Securities Mutual Funds    |   |                          | 824    |   |            |   | 45 | % |
| Level      2                                              |   |                          |   |   |            |   |   |   |
| Investment      Funds - Equity Securities Commingled Fund |   |                          | 366    |   |            |   | 20 | % |
|                                                      |   | $                             | 1,836  |   |            |   | 100 | % |

|                                                      |   |                          |   |   |            |   |
|-----------------------------------------------------------|--------|-------------------------------|--------|--------|-----------------|--------|
| Investment      Type                                      |   | Market      Value at 12/31/09 |   |   | %      of Total |   |
| Level      1                                              |   |                          |   |   |            |   |
| Investment      Funds - Money Market Mutual Fund          |   | $                             | 618    |   |            |   | 1 | % |
| Investment      Funds - Fixed Income Mutual Funds         |   |                          | 14,611 |   |            |   | 20 | % |
| Investment      Funds - Equity Securities Mutual Funds    |   |                          | 32,322 |   |            |   | 45 | % |
| Level      2                                              |   |                          |   |   |            |   |   |   |
| Fixed      Income Commingled Fund                         |   |                          | 10,443 |   |            |   | 14 | % |
| Investment      Funds - Equity Securities Commingled Fund |   |                          | 14,419 |   |            |   | 20 | % |
|                                                      |   | $                             | 72,413 |   |            |   | 100 | % |

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|                                                                     | Pension      Benefits |   |     | Other      Benefits |   |
|--------------------------------------------------------------------------|-----------------------|--------|----------|---------------------|--------|
|                                                                     | 2009                  |   | 2008     |                |   | 2009 |   |   | 2008 |   |
| Change      in Benefit Obligation:                                       |                  |   |     |                |   |   |   |   |   |   |   |   |
| Benefit      obligation at beginning of year                             |                  | $      | 423,538  |                | $      | 408,886 |   |   |   | $ | 119,001 |   |   | $ | 148,215 |   |
| Service      cost                                                        |                  |   | 7,825    |                |   | 9,645 |   | (1) |   |   | 2,125 |   |   |   | 2,415 |   |
| Interest      cost                                                       |                  |   | 25,819   |                |   | 31,109 |   | (1) |   |   | 6,846 |   |   |   | 7,547 |   |
| Participant      contributions                                           |                  |   | -        |                |   | - |   | (1) |   |   | 473 |   |   |   | 492 |   |
| Plan      amendments                                                     |                  |   | -        |                |   | 1,371 |   | (1) |   |   | - |   |   |   | (25,771 | ) |
| Benefits      paid                                                       |                  |   | (24,655  | )                   |   | (30,157 | ) | (1) |   |   | (6,455 | ) |   |   | (6,216 | ) |
| Actuarial      (gain) loss                                               |                  |   | 34,708   |                |   | 2,684 |   | (1) |   |   | 5,104 |   |   |   | (7,681 | ) |
| Benefit      Obligation at End of Plan Year                              |                  | $      | 467,235  |                | $      | 423,538 |   |   |   | $ | 127,094 |   |   | $ | 119,001 |   |
| Change      in Plan Assets:                                              |                  |   |     |                |   |   |   |   |   |   |   |   |   |   |   |   |
| Fair      Value of plan assets at beginning of year                      |                  | $      | 261,338  |                | $      | 397,157 |   |   |   | $ | 66,356 |   |   | $ | 92,655 |   |
| Adjustment      / other                                                  |                  |   | -        |                |   | - |   | (1) |   |   | (106 | ) |   |   | 36 |   |
| Actual      return on plan assets                                        |                  |   | 56,191   |                |   | (116,020 | ) | (1) |   |   | 17,192 |   |   |   | (24,576 | ) |
| Employer      contributions                                              |                  |   | 23,124   |                |   | 13,027 |   | (1) |   |   | 3,485 |   |   |   | 4,200 |   |
| Participant      contributions                                           |                  |   | -        |                |   | - |   | (1) |   |   | 473 |   |   |   | 492 |   |
| Benefits      paid                                                       |                  |   | (24,655  | )                   |   | (30,157 | ) | (1) |   |   | (6,455 | ) |   |   | (6,216 | ) |
| Administrative      expenses                                             |                  |   | (1,746   | )                   |   | (2,669 | ) | (1) |   |   | (92 | ) |   |   | (235 | ) |
| Fair      Value of Plan Assets at End of Plan Year                       |                  | $      | 314,252  |                | $      | 261,338 |   |   |   | $ | 80,853 |   |   | $ | 66,356 |   |
| Reconciliation      of Funded Status:                                    |                  |   |     |                |   |   |   |   |   |   |   |   |   |   |   |   |
| Funded      Status at end of year                                        |                  | $      | (152,983 | )                   | $      | (162,200 | ) |   |   | $ | (46,241 | ) |   | $ | (52,645 | ) |
| Employer      Contributions between measurement date and fiscal year-end |                  |   | -        |                |   | - |   |   |   |   | - |   |   |   | - |   |
| Amounts      Recognized on Consolidated Balance Sheet:                   |                  |   |     |                |   |   |   |   |   |   |   |   |   |   |   |   |
| Current      liabilities                                                 |                  |   | (600     | )                   |   | (526 | ) |   |   |   | - |   |   |   | - |   |
| Noncurrent      liabilities                                              |                  |   | (152,383 | )                   |   | (161,674 | ) |   |   |   | (46,241 | ) |   |   | (52,645 | ) |
| Net      amount recognized on Consolidated Balance Sheet                 |                  |   | (152,983 | )                   |   | (162,200 | ) |   |   |   | (46,241 | ) |   |   | (52,645 | ) |
| Regulatory      asset:                                                   |                  |   |     |                |   |   |   |   |   |   |   |   |   |   |   |   |
| -Net      loss                                                           |                  |   | 152,079  |                |   | 177,342 |   |   |   |   | 42,487 |   |   |   | 57,439 |   |
| -Prior      service costs (credit)                                       |                  |   | 12,565   |                |   | 14,742 |   |   |   |   | (51,372 | ) |   |   | (57,240 | ) |
| -Transition      obligation                                              |                  |   | -        |                |   | - |   |   |   |   | 7,685 |   |   |   | 10,250 |   |
| Components      of Net Periodic Benefit Cost:                            |                  |   |     |                |   |   |   |   |   |   |   |   |   |   |   |   |
| Service      cost                                                        |                  | $      | 7,825    |                | $      | 9,645 |   |   |   | $ | 2,125 |   |   | $ | 2,415 |   |
| Interest      cost                                                       |                  |   | 25,819   |                |   | 31,109 |   |   |   |   | 6,846 |   |   |   | 7,547 |   |
| Expected      return on plan assets                                      |                  |   | (19,874  | )                   |   | (37,889 | ) |   |   |   | (5,067 | ) |   |   | (7,006 | ) |
| Amortization      of prior service cost (credit)                         |                  |   | 2,177    |                |   | 2,658 |   |   |   |   | (5,868 | ) |   |   | (5,100 | ) |
| Amortization      of transitional obligation                             |                  |   | -        |                |   | - |   |   |   |   | 2,566 |   |   |   | 2,566 |   |
| Amortization      of net (gain) loss                                     |                  |   | 25,400   |                |   | 14,318 |   |   |   |   | 8,292 |   |   |   | 5,723 |   |
| Net      Periodic Benefit Cost                                           |                  | $      | 41,347   |                | $      | 19,841 |   |   |   | $ | 8,894 |   |   | $ | 6,145 |   |

| (1) | Due      to measurement date change for pension benefits to December 31 from      September 30, amount reflects 15 months of  activity. |
|-----|-----------------------------------------------------------------------------------------------------------------------------------------|

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|                                                                                                            |   | Pension      Benefits |    |   | Other      Benefits |   |
|-----------------------------------------------------------------------------------------------------------------|--------|-----------------------|---------|--------|---------------------|--------|
|                                                                                                            |   | 2009                  |    |   | 2008                |   |   | 2009 |   |   | 2008 |   |
| Other Changes in Plan Assets and      Benefit ObligationRecognized in Regulatory      Assets:                   |   |                  |    |   |                |   |   |   |   |   |   |   |
| Net      loss (gain)                                                                                            |   | $                     | 137     |   |                | $      | 159,262 |   |   | $ | (6,660 | ) |   | $ | 23,824 |   |
| Amortization      of net (loss) gain                                                                            |   |                  | (25,400 | )      |                |   | (14,318 | ) |   |   | (8,292 | ) |   |   | (5,723 | ) |
| Prior      service cost (credit)                                                                                |   |                  | -       |   |                |   | 1,371 |   |   |   | - |   |   |   | (25,771 | ) |
| Amortization      of prior service cost                                                                         |   |                  | (2,177  | )      |                |   | (2,658 | ) |   |   | 5,868 |   |   |   | 5,100 |   |
| Transitional      obligation                                                                                    |   |                  | -       |   |                |   | - |   |   |   | - |   |   |   | - |   |
| Amortization      of transitional obligation                                                                    |   |                  | -       |   |                |   | - |   |   |   | (2,566 | ) |   |   | (2,566 | ) |
| Regulatory      asset attributable to change from prior year                                                    |   |                  | -       |   |                |   | - |   |   |   | - |   |   |   | - |   |
| Total      recognized in regulatory asset                                                                       |   |                  | (27,440 | )      |                |   | 143,657 |   |   |   | (11,650 | ) |   |   | (5,136 | ) |
|                                                                                                            |   |                  |    |   |                |   |   |   |   |   |   |   |   |   |   |   |
| Total      recognized in net periodic benefit cost and regulatory    asset                                      |   | $                     | 13,907  |   |                | $      | 163,498 |   |   | $ | (2,756 | ) |   | $ | 1,009 |   |
|                                                                                                            |   |                  |    |   |                |   |   |   |   |   |   |   |   |   |   |   |
| Weighted-average      assumptions used to determine benefit obligations:                                        |   |                  |    |   |                |   |   |   |   |   |   |   |   |   |   |   |
| Discount      rate                                                                                              |   |                  | 5.70    | %      |                |   | 6.20 | % |   |   | 5.70 | % |   |   | 6.20 | % |
| Rate      of compensation increase                                                                              |   |                  | 5.00    | %      |                |   | 5.00 | % |   |   | 5.00 | % |   |   | 5.00 | % |
| Measurement      date                                                                                           |   | 12/31/09              |    |   | 12/31/08            |   |   | 12/31/09 |   |   | 12/31/08 |   |
| Weighted-average      assumptions used to determine net periodic benefit cost for years ended      December 31: |   |                  |    |   |                |   |   |   |   |   |   |   |   |   |   |   |
| Discount      rate                                                                                              |   |                  | 6.20    | %      |                |   | 6.20 | % |   |   | 6.20 | % |   |   | 6.40 | % |
| Expected      long-term rate of return on plan assets                                                           |   |                  | 8.00    | %      |                |   | 8.00 | % |   |   | 8.00 | % |   |   | 7.75 | % |
| Rate      of compensation increase                                                                              |   |                  | 5.00    | %      |                |   | 5.00 | % |   |   | 5.00 | % |   |   | 5.00 | % |
|                                                                                                            |   |                  |    |   |                |   |   |   |   |   |   |   |   |   |   |   |
| Assumed      health care cost trend rates at December 31:                                                       |   |                  |    |   |                |   |   |   |   |   |   |   |   |   |   |   |
| Health      care cost trend rate assumed for next year                                                          |   |                  | N/A     |   |                |   | N/A |   |   |   | 8.57 | % |   |   | 9.00 | % |
| Rate      to which the cost trend rate is assumed to decline (the ultimate trend      rate)                     |   |                  | N/A     |   |                |   | N/A |   |   |   | 4.50 | % |   |   | 5.00 | % |
| Year      that the rate reaches the ultimate trend rate                                                         |   |                  | N/A     |   |                |   | N/A |   |   |   | 2029 |   |   |   | 2018 |   |
|                                                                                                            |   |                  |    |   |                |   |   |   |   |   |   |   |   |   |   |   |
| Pension      plans with accumulated benefit obligations in excess of plan      assets:                          |   |                  |    |   |                |   |   |   |   |   |   |   |   |   |   |   |
| Projected      benefit obligation                                                                               |   | $                     | 467,234 |   |                | $      | 423,538 |   |   |   | N/A |   |   |   | N/A |   |
| Accumulated      benefit obligation                                                                             |   |                  | 426,255 |   |                |   | 389,144 |   |   |   | N/A |   |   |   | N/A |   |
| Fair      Value of plan assets                                                                                  |   |                  | 314,252 |   |                |   | 261,338 |   |   |   | N/A |   |   |   | N/A |   |

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|                      |   | Pension      Plan |   |   | Other      Plans |   |
|---------------------------|--------|-------------------|--------|--------|------------------|--------|
|                      |   | 2009              |   |   | 2008             |   |   | 2009 |   |   | 2008 |   |
| Equity      Securities    |   |              | 62.8   | %      |             |   | 48.7 | % |   |   | 64.5 | % |   |   | 65.6 | % |
| Debt      Securities      |   |              | 31.9   | %      |             |   | 41.3 | % |   |   | 34.7 | % |   |   | 34.1 | % |
| Alternate      Investment |   |              | 4.6    | %      |             |   | 9.2 | % |   |   | 0.0 | % |   |   | 0.0 | % |
| Other                     |   |              | 0.7    | %      |             |   | 0.8 | % |   |   | 0.8 | % |   |   | 0.3 | % |
| Total                     |   |              | 100.0  | %      |             |   | 100.0 | % |   |   | 100.0 | % |   |   | 100.0 | % |

|                                                                  | One      Percentage |   | One      Percentage |   |
|-----------------------------------------------------------------------|---------------------|--------|---------------------|--------|
|                                                                  | Point      Increase |   | Point      Decrease |   |
| Effect      on total of service and interest cost components for 2009 |                | $      | 447                 |   |   | $ | (385 | ) |
|                                                                  |                |   |                |   |   |   |   |   |
| Effect      on year-end 2009 post-retirement benefit obligation       |                | $      | 4,217               |   |   | $ | (3,722 | ) |

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| Year             |   | Pension      Benefits - Gross |    |   | Other      Benefits - Gross |   |   | Other      Benefits - Net(1) |   |
|------------------|--------|-------------------------------|---------|--------|-----------------------------|--------|--------|------------------------------|--------|
| 2010             |   | $                             | 28,064  |   |                        | $      | 7,272  |                         |   | $ | 6,722 |   |
| 2011             |   |                          | 28,379  |   |                        |   | 7,791  |                         |   |   | 7,211 |   |
| 2012             |   |                          | 29,056  |   |                        |   | 8,181  |                         |   |   | 7,563 |   |
| 2013             |   |                          | 29,689  |   |                        |   | 8,454  |                         |   |   | 7,792 |   |
| 2014             |   |                          | 30,024  |   |                        |   | 8,887  |                         |   |   | 8,191 |   |
| 2015      - 2019 |   |                          | 160,096 |   |                        |   | 47,329 |                         |   |   | 43,274 |   |

NOTE

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|                 |     |   |   |    |           |   |        |           |   |               | Weighted |   |        |           |   |
|----------------------|----------|--------|--------|---------|----------------|--------|-------------|----------------|--------|--------------------|----------|--------|-------------|----------------|--------|
|                 |     |   |   |    | Number      of |   |        | Number      of |   |               | Average  |   |        | Number      of |   |
|                 | Exercise |   |   | Options |           |   | Options     |           |   | Remaining          |     |   | Options     |           |
| Date      of Grant   | Price    |   |   | Granted |           |   | Outstanding |           |   | Life      in Years |     |   | Exercisable |           |
| January      1, 2000 |     | $      | 31.94  |    |           |   | 30,300      |           |   |               | -        |   |        |           | -      |   |   |   | - |   |
| January      1, 2001 |     | $      | 44.06  |    |           |   | 59,900      |           |   |               | 18,560   |   |        |           | 1.00   |   |   |   | 18,560 |   |
| January      1, 2003 |     | $      | 48.62  |    |           |   | 36,900      |           |   |               | 17,420   |   |        |           | 3.00   |   |   |   | 17,420 |   |
|                 |     |   |   |    |           |   | 127,100     |           |   |               | 35,980   |   |        |           | 1.97   |   |   |   | 35,980 |   |

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|                           |   | 2003   |   |   | 2001   |   |   | 2000   |   |
|--------------------------------|--------|--------|--------|--------|--------|--------|--------|--------|--------|
| Risk-free      interest rate   |   |   | 4.40   | %      |   |   | 4.78   | %      |   |   | 6.36 | % |
| Expected      life - in years  |   |   | 10     |   |   |   | 5      |   |   |   | 5 |   |
| Expected      stock volatility |   |   | 17.50  | %      |   |   | 20.06  | %      |   |   | 15.59 | % |
| Dividend      yield            |   |   | 4.4    | %      |   |   | 5.4    | %      |   |   | 5.4 | % |

|                                          |              |       |                |   | Weighted            |
|-----------------------------------------------|-------------------|------------|---------------------|--------|---------------------|
|                                          |              |       | Weighted            |   | Average             |
|                                          | Stock      Option |       | Average             |   | Remaining      Life |
|                                          | Shares            |       | Exercise      Price |   | in      Years       |
| Outstanding      at 12/31/08                  | 40,300            |       | $                   | 46.05  |                | 3.91 |
| Granted                                       | -                 |       |                | -      |                |   |
| Exercised                                     | 4,320             |       |                | 44.22  |                |   |
| Expired      / Forfeited                      | -                 |       |                | -      |                |   |
| Outstanding      at12/31/09                   | 35,980            |       | $                   | 46.27  |                | 1.97 |
|                                          |              |       |                |   |                |   |
| Total      CH Energy Group Shares Outstanding |              | 15,804,562 |                |   |
| Potential      Dilution                       |              |       | 0.2                 | %      |                |

|                  |   |   |            |   |   |                    |   |   |                   | Performance      Shares |   |
|-----------------------|--------|--------|-----------------|--------|--------|-------------------------|--------|--------|------------------------|-------------------------|--------|
|                  |   |   | Grant      Date |   |   | Performance      Shares |   |   | Outstanding      at    |                    |
| Grant      Date       |   |   | Fair      Value |   |   | Granted                 |   |   | December      31, 2009 |                    |
| January      25, 2007 |   |   |            | $      | 50.56  |                    |   |   | 21,330                 |                    |   |   | 19,380 |   |
| January      24, 2008 |   |   |            | $      | 35.76  |                    |   |   | 33,440                 |                    |   |   | 31,900 |   |
| January      26, 2009 |   |   |            | $      | 49.29  |                    |   |   | 36,730                 |                    |   |   | 36,730 |   |

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|                               |   | For      the year ended December 31, |   |
|------------------------------------|--------|--------------------------------------|--------|
|                               |   | 2008                                 |   |   | 2007 |   |
| Stock      price                   |   | $                                    | 51.39  |   |   | $ | 44.54 |   |
| Dividend      yield                |   |                                 | 4.2    | % |   |   | 4.8 | % |
| Performance      period (in years) |   |                                 | 3      |   |   |   | 3 |   |
| Risk-free      rates of return:    |   |                                 |   |   |   |   |   |   |
| One      year                      |   |                                 | 0.37   | % |   |   | 3.34 | % |
| Two      year                      |   |                                 | 0.76   | % |   |   | 3.05 | % |
| Three      year                    |   |                                 | 1.00   | % |   |   | 3.07 | % |

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| Grant      Date        |   | Type      of Award |   | Shares      orStock      Units Granted |   | Grant      DateFair      Value |   | Vesting      Terms |                                       | Unvested      Shares Outstanding at December 31, 2009 |   |
|------------------------|--------|--------------------|--------|----------------------------------------|--------|--------------------------------|--------|--------------------|--------------------------------------------|-------------------------------------------------------|--------|
| January      2, 2008   |   | Shares             |   | 10,000                                 |   | $                              | 44.32  |               | End      of 3 years                        |                                                  | 8,900  | (1) |
| January      2, 2008   |   | Shares             |   | 2,100                                  |   | $                              | 44.32  |               | Ratably      over 3 years                  |                                                  | 1,400  |   |
| January      26, 2009  |   | Shares             |   | 2,930                                  |   | $                              | 49.29  |               | End      of 3 years                        |                                                  | 2,680  | (2) |
| October      1, 2009   |   | Shares             |   | 14,375                                 |   | $                              | 43.86  |               | Ratably      over 5 years                  |                                                  | 14,375 |   |
| November      20, 2009 |   | StockUnits         |   | 13,900                                 |   | $                              | 41.43  |               | 1/3      each year inYears      5, 6 and 7 |                                                  | 13,900 |   |

| (1) | 500      shares were forfeited upon resignation of the employee holding the shares      and the vesting of 600 shares was accelerated upon a change in control for      an individual resulting from the sale of certain assets of      Griffith. |
|-----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (2) | The      vesting of 250 shares was accelerated upon a change in control for an      individual resulting from the sale of certain assets of      Griffith. |
|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------|

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NOTE 12 -COMMITMENTS 

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|                                                  |   | Less      than1      year |    |   | YearEnding2011 |   |   | YearEnding2012 |   |   | YearEnding2013 |   |   | YearEnding2014 |   |   | Total  |   |
|-------------------------------------------------------|--------|---------------------------|---------|--------|----------------|--------|--------|----------------|--------|--------|----------------|--------|--------|----------------|--------|--------|--------|--------|
| Operating      Leases                                 |   | $                         | 2,450   |   |           | $      | 2,559  |           |   | $      | 2,345          |   |   | $              | 2,170  |   |   | $      | 2,395 |   |   | $ | 11,919 |   |
| Construction/Maintenance      & Other Projects(1) |   |                      | 79,307  |   |           |   | 22,768 |           |   |   | 7,081          |   |   |           | 4,815  |   |   |   | 2,848 |   |   |   | 116,819 |   |
| Purchased      Electric Contracts(2)                  |   |                      | 109,732 |   |           |   | 36,356 |           |   |   | 3,999          |   |   |           | 3,999  |   |   |   | 3,999 |   |   |   | 158,085 |   |
| Purchased      Natural Gas Contracts(2)               |   |                      | 55,369  |   |           |   | 31,465 |           |   |   | 21,945         |   |   |           | 11,452 |   |   |   | 11,172 |   |   |   | 131,403 |   |
| Purchased      Fixed Liquid Petroleum Contracts(3)    |   |                      | 3,959   |   |           |   | -      |           |   |   | -              |   |   |           | -      |   |   |   | - |   |   |   | 3,959 |   |
| Total                                                 |   | $                         | 250,817 |   |           | $      | 93,148 |           |   | $      | 35,370         |   |   | $              | 22,436 |   |   | $      | 20,414 |   |   | $ | 422,185 |   |

| (1) | Including      Specific, Term, and Service Contracts, briefly defined as      follows:  Specific Contracts consist of work orders for      construction; Term Contracts consist of maintenance contracts; and Service      Contracts include consulting, educational, and professional service      contracts. |
|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (2) | Purchased      electric and purchased natural gas costs for Central Hudson are fully      recovered via their respective regulatory cost adjustment      mechanisms. |
|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (3) | Estimated      based on pricing on December 31,2009. |
|-----|------------------------------------------------------|

|                                                  |   | Less      than1      year |    |   | YearEnding2011 |   |   | YearEnding2012 |   |   | YearEnding2013 |   |   | YearEnding2014 |   |   | Total  |   |
|-------------------------------------------------------|--------|---------------------------|---------|--------|----------------|--------|--------|----------------|--------|--------|----------------|--------|--------|----------------|--------|--------|--------|--------|
| Operating      Leases                                 |   | $                         | 1,546   |   |           | $      | 1,534  |           |   | $      | 1,479          |   |   | $              | 1,457  |   |   | $      | 1,450 |   |   | $ | 7,466 |   |
| Construction/Maintenance      & Other Projects(1) |   |                      | 52,022  |   |           |   | 22,730 |           |   |   | 7,043          |   |   |           | 4,777  |   |   |   | 2,810 |   |   |   | 89,382 |   |
| Purchased      Electric Contracts(2)                  |   |                      | 109,732 |   |           |   | 36,356 |           |   |   | 3,999          |   |   |           | 3,999  |   |   |   | 3,999 |   |   |   | 158,085 |   |
| Purchased      Natural Gas Contracts(2)               |   |                      | 55,369  |   |           |   | 31,465 |           |   |   | 21,945         |   |   |           | 11,452 |   |   |   | 11,172 |   |   |   | 131,403 |   |
| Total                                                 |   | $                         | 218,669 |   |           | $      | 92,085 |           |   | $      | 34,466         |   |   | $              | 21,685 |   |   | $      | 19,431 |   |   | $ | 386,336 |   |

| (1) | Including      Specific, Term, and Service Contracts, as defined in footnote (1) of the      preceding chart. |
|-----|---------------------------------------------------------------------------------------------------------------|

| (2) | Purchased      electric and purchased natural gas costs for Central Hudson are fully      recovered via their respective regulatory cost adjustment      mechanisms. |
|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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|   | Ø | Air |
|--------|--------|-----|

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|   | Ø | Former Manufactured Gas Plant      Facilities |
|--------|--------|-----------------------------------------------|

----

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| Site |   | Status                                       |
|------|--------|----------------------------------------------|
| #1   |   | Beacon,      NY                              |   | Interim      Remediation work complete.  Final Report Approved by the      DEC.  Awaiting Decision Document from the DEC and an      environmental easement from the property owner. |
| #2   |   | Newburgh,      NY                            |   | Remediation      complete in one area under the terms of the DEC-approved      plan.  The final Construction Completion Report on this area has      been filed with the DEC.  For the remaining areas, remediation      began in the 4th      quarter of 2009. |
| #3   |   | Laurel      StreetPoughkeepsie,      NY      |   | Remediation      work is complete.  Preparing Final Report and post-remediation      Site Management Plan.  Additional monitoring/recovery wells      requested by the DEC will be completed in the 1st      quarter of 2010. |
| #4   |   | North      Water StreetPoughkeepsie,      NY |   | Additional      land and river investigations have been requested by the DEC.  A      work plan for this investigation work was submitted to the DEC on January      7, 2010.  In 2009, visible oil sheens associated with this site      occurred in the Hudson River.  The DEC has not notified Central      Hudson regarding any investigation or remediation related to these oil      sheens. |
| #5   |   | Kingston,      NY                            |   | Brownfield      Cleanup Agreement was executed and the Citizen Participation Plan (“CPP”)      was submitted to the DEC.  Additional land and river      investigations have been approved by the DEC.  This additional      land and river investigation work will begin in 2010. |
| #6   |   | Catskill,      NY                            |   | Site      investigation continues under the DEC-approved Brownfield Cleanup      Agreement.  Access agreements for additional investigation work      have been executed and the work began on October 5,  2009. |
| #7   |   | Saugerties,      NY                          |   | This      site has been removed from the DEC listing of sites in which Central      Hudson has remedial responsibility. |
| #8   |   | Bayeaux      StreetPoughkeepsie,      NY     |   | Central      Hudson does not believe it has any further liability for this      site. |
| #9   |   | Broad      StreetNewburgh,      NY           |   | The      DEC has recently made inquiries about this additional      site.  Central Hudson does not believe it has any liability for      this site and has responded to the DEC on June 22, 2009 confirming this      position. |

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|   | Ø | Little Britain      Road |
|--------|--------|--------------------------|

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|   | Ø | Newburgh Consolidated Iron      Works |
|--------|--------|---------------------------------------|

|   | Ø | Asbestos      Litigation |
|--------|--------|--------------------------|

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NOTE 

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|                                            |   | Year      Ended December 31, 2009 |      |
|-------------------------------------------------|--------|-----------------------------------|-----------|
|                                            |   | Segments                          |      |   | Other |   |   |   |   |   |   |   |
|                                            |   | Central      Hudson               |      |   |   |   |   | Businesses |   |   |   |   |   |   |   |
|                                            |   |                              |      |   | Natural |   |   |   |   |   | and |   |   |   |   |   |   |
|                                            |   | Electric                          |      |   | Gas |   |   | Griffith |   |   | Investments |   |   | Eliminations |   |   | Total |   |
| Revenues      from external customers           |   | $                                 | 536,170   |   |   | $ | 174,137 |   |   | $ | 211,229 |   |   | $ | 10,053 |   |   | $ | - |   |   | $ | 931,589 |   |
| Intersegment      revenues                      |   |                              | 12        |   |   |   | 308 |   |   |   | - |   |   |   | - |   |   |   | (320 | ) |   |   | - |   |
| Total      revenues                             |   |                              | 536,182   |   |   |   | 174,445 |   |   |   | 211,229 |   |   |   | 10,053 |   |   |   | (320 | ) |   |   | 931,589 |   |
| Depreciation      and amortization              |   |                              | 25,269    |   |   |   | 6,825 |   |   |   | 4,488 |   |   |   | 1,121 |   |   |   | - |   |   |   | 37,703 |   |
| Operating      income                           |   |                              | 60,289    |   |   |   | 16,049 |   |   |   | 5,587 |   |   |   | (1,526 | ) |   |   | - |   |   |   | 80,399 |   |
| Interest      and investment income             |   |                              | 3,303     |   |   |   | 1,727 |   |   |   | 15 |   |   |   | 4,996 |   |   |   | (4,117 | ) | (1) |   | 5,924 |   |
| Interest      charges                           |   |                              | 19,806    |   |   |   | 5,079 |   |   |   | 2,405 |   |   |   | 2,623 |   |   |   | (4,117 | ) | (1) |   | 25,796 |   |
| Earnings      before income taxes               |   |                              | 41,703    |   |   |   | 12,215 |   |   |   | 3,456 |   |   |   | (2,555 | ) |   |   | - |   |   |   | 54,819 |   |
| Income      tax expense                         |   |                              | 15,743    |   |   |   | 5,399 |   |   |   | 1,332 |   |   |   | (2,082 | ) |   |   | - |   |   |   | 20,392 |   |
| Net      income attributable to CH Energy Group |   |                              | 25,217    |   |   |   | 6,589 |   |   |   | 11,975 |   | (3) |   | (297 | ) |   |   | - |   |   |   | 43,484 |   |
| Segment      assets at December 31              |   |                              | 1,132,341 |   |   |   | 353,259 |   |   |   | 103,915 |   |   |   | 109,930 |   |   |   | (1,562 | ) | (2) |   | 1,697,883 |   |
| Goodwill                                        |   |                              | -         |   |   |   | - |   |   |   | 35,651 |   |   |   | - |   |   |   | - |   |   |   | 35,651 |   |
| Capital      expenditures                       |   |                              | 78,585    |   |   |   | 18,255 |   |   |   | 1,920 |   |   |   | 5,192 |   |   |   | - |   |   |   | 103,952 |   |

| (1) | This      represents the elimination of inter-company interest income (expense)      generated from temporary lending activities between CH Energy Group (the      holding company), and its subsidiaries (CHEC and  Griffith). |
|-----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (2) | Includes      non-controlling owner's interest of $1,385 related to      Lyonsdale. |
|-----|-------------------------------------------------------------------------------------|

| (3) | Includes      income from discontinued operations of$9,777. |
|-----|-------------------------------------------------------------|

|                                            |   | Year      Ended December 31, 2008 |      |
|-------------------------------------------------|--------|-----------------------------------|-----------|
|                                            |   | Segments                          |      |   | Other |   |   |   |   |   |   |   |
|                                            |   | Central      Hudson               |      |   |   |   |   | Businesses |   |   |   |   |   |   |   |
|                                            |   |                              |      |   | Natural |   |   |   |   |   | and |   |   |   |   |   |   |
|                                            |   | Electric                          |      |   | Gas |   |   | Griffith |   |   | Investments |   |   | Eliminations |   |   | Total |   |
| Revenues      from external customers           |   | $                                 | 608,161   |   |   | $ | 189,546 |   |   | $ | 330,204 |   |   | $ | 11,290 |   |   | $ | - |   |   | $ | 1,139,201 |   |
| Intersegment      revenues                      |   |                              | 16        |   |   |   | 323 |   |   |   | - |   |   |   | - |   |   |   | (339 | ) |   |   | - |   |
| Total      revenues                             |   |                              | 608,177   |   |   |   | 189,869 |   |   |   | 330,204 |   |   |   | 11,290 |   |   |   | (339 | ) |   |   | 1,139,201 |   |
| Depreciation      and amortization              |   |                              | 23,592    |   |   |   | 6,220 |   |   |   | 4,609 |   |   |   | 837 |   |   |   | - |   |   |   | 35,258 |   |
| Operating      income                           |   |                              | 53,396    |   |   |   | 13,948 |   |   |   | 3,655 |   |   |   | (47 | ) |   |   | - |   |   |   | 70,952 |   |
| Interest      and investment income             |   |                              | 1,605     |   |   |   | 1,566 |   |   |   | 82 |   |   |   | 5,929 |   |   |   | (4,515 | ) | (1) |   | 4,667 |   |
| Interest      charges                           |   |                              | 19,975    |   |   |   | 5,451 |   |   |   | 2,890 |   |   |   | 491 |   |   |   | (4,515 | ) | (1) |   | 24,292 |   |
| Earnings      before income taxes               |   |                              | 36,056    |   |   |   | 10,455 |   |   |   | 1,138 |   |   |   | 4,274 |   |   |   | - |   |   |   | 51,923 |   |
| Income      tax expense                         |   |                              | 14,334    |   |   |   | 4,939 |   |   |   | 515 |   |   |   | (474 | ) |   |   | - |   |   |   | 19,314 |   |
| Net      income attributable to CH Energy Group |   |                              | 20,977    |   |   |   | 5,291 |   |   |   | 4,169 |   | (3) |   | 4,644 |   |   |   | - |   |   |   | 35,081 |   |
| Segment      assets at December 31              |   |                              | 1,106,505 |   |   |   | 385,691 |   |   |   | 190,464 |   |   |   | 47,494 |   |   |   | 29 |   | (2) |   | 1,730,183 |   |
| Goodwill                                        |   |                              | -         |   |   |   | - |   |   |   | 67,455 |   |   |   | - |   |   |   | - |   |   |   | 67,455 |   |
| Capital      expenditures                       |   |                              | 58,827    |   |   |   | 19,503 |   |   |   | 2,706 |   |   |   | 2,562 |   |   |   | - |   |   |   | 83,598 |   |

| (1) | This      represents the elimination of inter-company interest income (expense)      generated from temporary lending activities between CH Energy Group (the      holding company), and its subsidiaries (CHEC and  Griffith). |
|-----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (2) | Includes      non-controlling owner's interest of $1,449 related to      Lyonsdale. |
|-----|-------------------------------------------------------------------------------------|

| (3) | Includes      income from discontinued operations of$3,449. |
|-----|-------------------------------------------------------------|

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|                                            |   | Year      Ended December 31, 2007 |    |
|-------------------------------------------------|--------|-----------------------------------|---------|
|                                            |   | Segments                          |    |   | Other |   |   |   |   |   |   |   |
|                                            |   | Central      Hudson               |    |   |   |   |   | Businesses |   |   |   |   |   |   |   |
|                                            |   |                              |    |   | Natural |   |   |   |   |   | and |   |   |   |   |   |   |
|                                            |   | Electric                          |    |   | Gas |   |   | Griffith |   |   | Investments |   |   | Eliminations |   |   | Total |   |
| Revenues      from external customers           |   | $                                 | 616,839 |   |   | $ | 165,449 |   |   | $ | 287,763 |   |   | $ | 8,716 |   |   | $ | - |   |   | $ | 1,078,767 |   |
| Intersegment      revenues                      |   |                              | 15      |   |   |   | 301 |   |   |   | - |   |   |   | - |   |   |   | (316 | ) |   |   | - |   |
| Total      revenues                             |   |                              | 616,854 |   |   |   | 165,750 |   |   |   | 287,763 |   |   |   | 8,716 |   |   |   | (316 | ) |   |   | 1,078,767 |   |
| Depreciation      and amortization              |   |                              | 22,251  |   |   |   | 6,148 |   |   |   | 4,694 |   |   |   | 809 |   |   |   | - |   |   |   | 33,902 |   |
| Operating      income                           |   |                              | 57,135  |   |   |   | 14,271 |   |   |   | 5,065 |   |   |   | (812 | ) |   |   | - |   |   |   | 75,659 |   |
| Interest      and investment income             |   |                              | 3,770   |   |   |   | 1,973 |   |   |   | 115 |   |   |   | 7,082 |   |   |   | (4,534 | ) | (1) |   | 8,406 |   |
| Interest      charges                           |   |                              | 17,535  |   |   |   | 5,372 |   |   |   | 2,901 |   |   |   | 443 |   |   |   | (4,534 | ) | (1) |   | 21,717 |   |
| Earnings      before income taxes               |   |                              | 42,898  |   |   |   | 10,864 |   |   |   | 2,752 |   |   |   | 6,450 |   |   |   | - |   |   |   | 62,964 |   |
| Income      tax expense                         |   |                              | 16,018  |   |   |   | 4,308 |   |   |   | 1,067 |   |   |   | (433 | ) |   |   | - |   |   |   | 20,960 |   |
| Net      income attributable to CH Energy Group |   |                              | 26,141  |   |   |   | 6,325 |   |   |   | 3,166 |   | (3) |   | 7,004 |   |   |   | - |   |   |   | 42,636 |   |
| Segment      assets at December 31              |   |                              | 926,223 |   |   |   | 326,471 |   |   |   | 197,425 |   |   |   | 44,655 |   |   |   | (26 | ) | (2) |   | 1,494,748 |   |
| Goodwill                                        |   |                              | -       |   |   |   | - |   |   |   | 63,433 |   |   |   | - |   |   |   | - |   |   |   | 63,433 |   |
| Capital      expenditures                       |   |                              | 65,548  |   |   |   | 17,215 |   |   |   | 2,253 |   |   |   | 1,060 |   |   |   | - |   |   |   | 86,076 |   |

| (1) | This      represents the elimination of inter-company interest income (expense)      generated from temporary lending activities between CH Energy Group (the      holding company), and its subsidiaries (CHEC and  Griffith). |
|-----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (2) | Includes      non-controlling owner's interest of $1,345 related to      Lyonsdale. |
|-----|-------------------------------------------------------------------------------------|

| (3) | Includes      income from discontinued operations of$2,053. |
|-----|-------------------------------------------------------------|

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|                                   |   | Year      Ended December 31, 2009 |      |
|----------------------------------------|--------|-----------------------------------|-----------|
|                                   |   | Electric                          |      |   | Natural      Gas |   |   | Eliminations |   |   | Total |   |
| Revenues      from external customers  |   | $                                 | 536,170   |   |   | $ | 174,137 |   |   | $ | - |   |   | $ | 710,307 |   |
| Intersegment      revenues             |   |                              | 12        |   |   |   | 308 |   |   |   | (320 | ) |   |   | - |   |
| Total      revenues                    |   |                              | 536,182   |   |   |   | 174,445 |   |   |   | (320 | ) |   |   | 710,307 |   |
| Depreciation      and amortization     |   |                              | 25,269    |   |   |   | 6,825 |   |   |   | - |   |   |   | 32,094 |   |
| Operating      income                  |   |                              | 60,289    |   |   |   | 16,049 |   |   |   | - |   |   |   | 76,338 |   |
| Interest      and investment income    |   |                              | 3,303     |   |   |   | 1,727 |   |   |   | - |   |   |   | 5,030 |   |
| Interest      charges                  |   |                              | 19,806    |   |   |   | 5,079 |   |   |   | - |   |   |   | 24,885 |   |
| Income      tax expense                |   |                              | 15,743    |   |   |   | 5,399 |   |   |   | - |   |   |   | 21,142 |   |
| Income      available for common stock |   |                              | 25,217    |   |   |   | 6,589 |   |   |   | - |   |   |   | 31,806 |   |
| Segment      assets at December 31     |   |                              | 1,132,341 |   |   |   | 353,259 |   |   |   | - |   |   |   | 1,485,600 |   |
| Capital      expenditures              |   |                              | 78,585    |   |   |   | 18,255 |   |   |   | - |   |   |   | 96,840 |   |

|                                   |   | Year      Ended December 31, 2008 |      |
|----------------------------------------|--------|-----------------------------------|-----------|
|                                   |   | Electric                          |      |   | Natural      Gas |   |   | Eliminations |   |   | Total |   |
| Revenues      from external customers  |   | $                                 | 608,161   |   |   | $ | 189,546 |   |   | $ | - |   |   | $ | 797,707 |   |
| Intersegment      revenues             |   |                              | 16        |   |   |   | 323 |   |   |   | (339 | ) |   |   | - |   |
| Total      revenues                    |   |                              | 608,177   |   |   |   | 189,869 |   |   |   | (339 | ) |   |   | 797,707 |   |
| Depreciation      and amortization     |   |                              | 23,592    |   |   |   | 6,220 |   |   |   | - |   |   |   | 29,812 |   |
| Operating      income                  |   |                              | 53,396    |   |   |   | 13,948 |   |   |   | - |   |   |   | 67,344 |   |
| Interest      and investment income    |   |                              | 1,605     |   |   |   | 1,566 |   |   |   | - |   |   |   | 3,171 |   |
| Interest      charges                  |   |                              | 19,975    |   |   |   | 5,451 |   |   |   | - |   |   |   | 25,426 |   |
| Income      tax expense                |   |                              | 14,334    |   |   |   | 4,939 |   |   |   | - |   |   |   | 19,273 |   |
| Income      available for common stock |   |                              | 20,977    |   |   |   | 5,291 |   |   |   | - |   |   |   | 26,268 |   |
| Segment      assets at December 31     |   |                              | 1,106,505 |   |   |   | 385,691 |   |   |   | - |   |   |   | 1,492,196 |   |
| Capital      expenditures              |   |                              | 58,827    |   |   |   | 19,503 |   |   |   | - |   |   |   | 78,330 |   |

|                                   |   | Year      Ended December 31, 2007 |    |
|----------------------------------------|--------|-----------------------------------|---------|
|                                   |   | Electric                          |    |   | Natural      Gas |   |   | Eliminations |   |   | Total |   |
| Revenues      from external customers  |   | $                                 | 616,839 |   |   | $ | 165,449 |   |   | $ | - |   |   | $ | 782,288 |   |
| Intersegment      revenues             |   |                              | 15      |   |   |   | 301 |   |   |   | (316 | ) |   |   | - |   |
| Total      revenues                    |   |                              | 616,854 |   |   |   | 165,750 |   |   |   | (316 | ) |   |   | 782,288 |   |
| Depreciation      and amortization     |   |                              | 22,251  |   |   |   | 6,148 |   |   |   | - |   |   |   | 28,399 |   |
| Operating      income                  |   |                              | 57,135  |   |   |   | 14,271 |   |   |   | - |   |   |   | 71,406 |   |
| Interest      and investment income    |   |                              | 3,770   |   |   |   | 1,973 |   |   |   | - |   |   |   | 5,743 |   |
| Interest      charges                  |   |                              | 17,535  |   |   |   | 5,372 |   |   |   | - |   |   |   | 22,907 |   |
| Income      tax expense                |   |                              | 16,018  |   |   |   | 4,308 |   |   |   | - |   |   |   | 20,326 |   |
| Income      available for common stock |   |                              | 26,141  |   |   |   | 6,325 |   |   |   | - |   |   |   | 32,466 |   |
| Segment      assets at December 31     |   |                              | 926,223 |   |   |   | 326,471 |   |   |   | - |   |   |   | 1,252,694 |   |
| Capital      expenditures              |   |                              | 65,548  |   |   |   | 17,215 |   |   |   | - |   |   |   | 82,763 |   |

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| NOTE 14      - | ACCOUNTING FOR      DERIVATIVE INSTRUMENTS AND HEDGING  ACTIVITIES |
|----------------|--------------------------------------------------------------------|

|   | · | Interest      rate caps are used to hedge interest rate risks and to improve the      matching of assets and liabilities.  An interest rate cap is an      interest rate option agreement in which payments are made by the seller of      the option when the reference rate exceeds the specified strike rate (or      the set rate at which the option contract can be      exercised).  The purpose of these agreements is to hedge against      rising interest rates while still having the ability to take advantage of      falling interest rates by putting a “cap” on the interest rate Central      Hudson pays on debt for which such caps are  purchased. |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Natural      gas futures are used to hedge natural gas purchases.  A natural      gas futures contract is a standardized contract to buy or sell a specified      commodity (natural gas) of standardized quality at a certain date in the      future, at a market determined price (the futures      price).  Central Hudson’s reason for purchasing these contracts      is to hedge against the risk of price fluctuations related to natural gas      and to reduce the impact of volatility in the commodity markets on its      customers. |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Natural      gas swaps and contracts for differences (electricity swaps) are used to      hedge natural gas and electricity purchases.  A swap contract or      a contract for difference is the exchange of two payment streams between      two counterparties where the cash flows are dependant on the price of the      underlying commodity.  One party’s payment stream is based on a      fixed price and the other party’s payment stream is based on a floating      (market) price.  The purpose of these types of contracts is to      hedge against the risk of price fluctuations related to purchasing natural      gas and electricity supplies for Central Hudson’s customers.  In      an effort to moderate volatility by locking in prices, Central Hudson      always takes the fixed side of the transaction, agreeing to pay the      counterparty a fixed payment stream.  In return, Central Hudson      receives payments based on the market price for the commodity      involved. |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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|   | · | Option      contracts on heating oil are used to establish ceiling prices to limit      Griffith’s exposure to changes in heating oil prices for forecasted      heating oil supply requirements for capped price programs that are not      hedged by firm purchase commitments.  An option contract is the      right, but not the obligation, to buy (for a call option) or sell (for a      put option) a specific amount of the given commodity, at a specified price      (the strike price) during a specified period of  time. |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Weather      derivative contracts are used to limit the effect on earnings of      significant variances in weather conditions from normal      patterns.  Weather derivatives are financial instruments that      can be used as part of a risk management strategy to reduce risk      associated with adverse or unexpected weather conditions.  The      difference from other derivatives is that the underlying asset      (rain/temperature/snow) has no direct value to price the weather      derivative. |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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|                                                                   |   | As      of December 31, 2009                          |   |
|------------------------------------------------------------------------|--------|-------------------------------------------------------|--------|
| Triggering      Event                                                  |   | #      of Contracts Containing the Triggering Feature |   |   | Gross      Fair Value of Contract |   |   | Cost      to Settle if Contingent Feature is Triggered(net      of collateral) |   |
|                                                                   |   |                                                  |   |   |   |   |   |   |   |
| Central Hudson:                                                        |   |                                                  |   |   |   |   |   |   |   |
| Change      in Ownership (CHEG ownership of CHG&E falls below 51%) |   |                                                  | 6      |   |   | $ | (381 | ) |   | $ | (381 | ) |
| Credit      Rating Downgrade (to below BBB-)                           |   |                                                  | 2      |   |   |   | 1 |   |   |   | 1 |   |
| Adequate      Assurance(1)                                             |   |                                                  | 1      |   |   |   | (3,069 | ) |   |   | (3,069 | ) |
| Total      Central Hudson                                              |   |                                                  | 9      |   |   |   | (3,449 | ) |   |   | (3,449 | ) |
|                                                                   |   |                                                  |   |   |   |   |   |   |   |   |   |   |
| Griffith:                                                              |   |                                                  |   |   |   |   |   |   |   |   |   |   |
| Change      in Ownership (CHEG ownership of CHEC falls below 51%)      |   |                                                  | 10     |   |   |   | 172 |   |   |   | 172 |   |
| Adequate      Assurance(1)                                             |   |                                                  | 18     |   |   |   | 176 |   |   |   | 176 |   |
| Total      Griffith                                                    |   |                                                  | 28     |   |   |   | 348 |   |   |   | 348 |   |
|                                                                   |   |                                                  |   |   |   |   |   |   |   |   |   |   |
| Total      CH Energy Group                                             |   |                                                  | 37     |   |   | $ | (3,101 | ) |   | $ | (3,101 | ) |

| (1) | If      the counterparty has reasonable grounds to believe CHG&E's or      Griffith's creditworthiness or performance has become unsatisfactory, it      can request collateral in an amount determined by the counterparty, not to      exceed the amount required to settle the  contract. |
|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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|                                                          |   | December      31,2009 |    |   | December      31,2008 |   |
|---------------------------------------------------------------|--------|-----------------------|---------|--------|-----------------------|--------|
| Derivatives in an Asset      Position:                        |   |                  |    |   |                  |   |
| Not      Designated as Hedging Instruments:(1)                |   |                  |    |   |                  |   |
| Central      Hudson electricity swap contracts                |   | $                     | 314     |   |                  | $      | - |   |
| Central      Hudson natural gas swap contracts                |   |                  | 79      |   |                  |   | - |   |
| Central      Hudson interest rate cap contract           |   |                  | -       |   |                  |   | - |   |
| Total      Central Hudson Derivatives in an Asset Position    |   |                  | 393     |   |                  |   | - |   |
|                                                          |   |                  |    |   |                  |   |   |   |
| Griffith      heating oil call option contracts               |   |                  | 348     |   |                  |   | - |   |
|                                                          |   |                  |    |   |                  |   |   |   |
| Total      CH Energy Group Derivatives in Asset Position      |   | $                     | 741     |   |                  | $      | - |   |
|                                                          |   |                  |    |   |                  |   |   |   |
| Derivatives in a Liability      Position:                     |   |                  |    |   |                  |   |   |   |
| Not      Designated as Hedging Instruments:(1)                |   |                  |    |   |                  |   |   |   |
| Central      Hudson electricity swap contracts                |   | $                     | (12,297 | )      |                  | $      | (5,538 | ) |
| Central      Hudson natural gas swap contracts                |   |                  | (1,256  | )      |                  |   | (10,221 | ) |
| Total      Central Hudson Derivatives in a Liability Position |   |                  | (13,553 | )      |                  |   | (15,759 | ) |
|                                                          |   |                  |    |   |                  |   |   |   |
| Griffith      other derivative financial instrument           |   |                  | (284    | )      |                  |   | - |   |
|                                                          |   |                  |    |   |                  |   |   |   |
| Total      CH Energy Group Derivatives in Liability Position  |   | $                     | (13,837 | )      |                  | $      | (15,759 | ) |

| (1) | See      discussion following tables for additional information regarding      regulatory treatment of gains and losses on Central Hudson's derivative      contracts. |
|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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| Cash      Flow HedgeDerivative      Instruments |   | Amount      of Gain/(Loss) Recognized in OCI on Derivative |   |   | Amount      of Gain/(Loss) Reclassified from Accumulated OCI into    Income |   | Location      of Gain/(Loss) Reclassified from Accumulated OCI into Income |
|-------------------------------------------------|--------|------------------------------------------------------------|--------|--------|-----------------------------------------------------------------------------|--------|----------------------------------------------------------------------------|
|                                            |   | Year      Ended                                            |   |   | Year      Ended                                                             |   |                                                                       |
|                                            |   | December      31,                                          |   |   | December      31,                                                           |   |                                                                       |
|                                            |   | 2009                                                       |   |   | 2008                                                                        |   |                                                                       | 2009 |   |   | 2008 |   |   |
| Griffith      heating oil call option contracts |   | $                                                          | (10    | )      |                                                                        | $      | 477                                                                        |   |   | $ | 44 |   |   | $ | (1,208 | ) | Purchased      petroleum |
| Total                                           |   | $                                                          | (10    | )      |                                                                        | $      | 477                                                                        |   |   | $ | 44 |   |   | $ | (1,208 | ) |   |

|                                                          |   | Amount      of Gain/(Loss) Recognized as Increase/(Decrease) in the Income      Statement |    | Location      of Gain/(Loss) |
|---------------------------------------------------------------|--------|-------------------------------------------------------------------------------------------|---------|------------------------------|
|                                                          |   | Year      Ended December 31,                                                              |    |                         |
|                                                          |   | 2009                                                                                      |    |                         | 2008 |   |   |
| Central      Hudson electricity swap      contracts      |   | $                                                                                         | (26,018 | )                            |   | $ | (6,553 | ) | Regulatory      asset(1) |
| Central      Hudson natural gas      swap contracts      |   |                                                                                      | (13,758 | )                            |   |   | (6,500 | ) | Regulatory      asset(1) |
| Central      Hudson interest rate      cap contract      |   |                                                                                      | -       |                         |   |   | - |   | Regulatory      asset(1) |
| Griffith      heating oil call option      contracts     |   |                                                                                      | 54      |                         |   |   | - |   | Purchased      petroleum |
| Griffith      other derivative financial      instrument |   |                                                                                      | (73     | )                            |   |   | - |   | Purchased      petroleum |
| Total                                                         |   | $                                                                                         | (39,795 | )                            |   | $ | (13,053 | ) |   |

|                            | Amount      of Gain/(Loss) Recognized as Increase/(Decrease) in Purchased Electric and      Purchased Natural Gas |                         | Location      of Gain/(Loss) |
|---------------------------------|-------------------------------------------------------------------------------------------------------------------|------------------------------|------------------------------|
|                            |                                                                                                              | Year      Ended December 31, |                         |   |
|                            | 2009                                                                                                              |                         | 2008                         |   |   |
| Electricity      swap contracts |                                                                                                              | $                            | (26,018                      | ) |   | $ | (6,553 | ) | Regulatory      asset(1) |
| Natural      gas swap contracts |                                                                                                              |                         | (13,758                      | ) |   |   | (6,500 | ) | Regulatory      asset(1) |
| Interest      rate cap contract |                                                                                                              |                         | -                            |   |   |   | - |   | Regulatory      asset(1) |
| Total                           |                                                                                                              | $                            | (39,776                      | ) |   | $ | (13,053 | ) |   |

| (1) | Realized      gains and losses on Central Hudson’s derivative instruments are conveyed      to or recovered from customers through PSC authorized deferral accounting      mechanisms, with an offset in revenue and on the balance sheet, and no      impact on results ofoperations. |
|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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NOTE 15 

|   | · | Level 1      Inputs:  Quoted prices (unadjusted) in active markets for      identical assets or liabilities. |
|--------|--------|------------------------------------------------------------------------------------------------------------------------|

|   | · | Level 2      Inputs:  Directly or indirectly observable (market-based)      information.  This includes quoted prices for similar assets or      liabilities in active markets and quoted prices for identical or similar      assets or liabilities in markets that are not  active. |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Level 3      Inputs:  Unobservable inputs for the asset or liability      for which there is either no market data, or for which asset and liability      values are not correlated with marketvalue. |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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| Asset      or Liability Category                      |   | Fair      Value |    |   | Quoted      Prices in Active Markets for Identical Assets (Level 1) |   |    | Significant      Other Observable Inputs (Level 2) |   |   | Significant      Unobservable Inputs(Level      3) |   |
|-------------------------------------------------------|--------|-----------------|---------|--------|---------------------------------------------------------------------|--------|---------|----------------------------------------------------|--------|--------|----------------------------------------------------|--------|
| As      of December 31, 2009                          |   |            |    |   |                                                                |   |    |                                               |   |   |                                               |   |
| Assets                                                |   |            |    |   |                                                                |   |    |                                               |   |   |                                               |   |
| Derivative      Contracts:                            |   |            |    |   |                                                                |   |    |                                               |   |   |                                               |   |
| Central      Hudson - electric                        |   | $               | 314     |   |                                                                | $      | -       |                                               |   | $      | -                                                  |   |   | $ | 314 |   |
| Central      Hudson - natural gas                     |   |            | 79      |   |                                                                |   | 79      |                                               |   |   | -                                                  |   |   |   | - |   |
| Griffith      - heating oil                           |   |            | 348     |   |                                                                |   | 348     |                                               |   |   | -                                                  |   |   |   | - |   |
| Central      Hudson - interest rate cap               |   |            | -       |   |                                                                |   | -       |                                               |   |   | -                                                  |   |   |   | - |   |
| Total      Assets                                     |   | $               | 741     |   |                                                                | $      | 427     |                                               |   | $      | -                                                  |   |   | $ | 314 |   |
|                                                  |   |            |    |   |                                                                |   |    |                                               |   |   |                                               |   |   |   |   |   |
| Liabilities                                           |   |            |    |   |                                                                |   |    |                                               |   |   |                                               |   |   |   |   |   |
| Derivative      Contracts:                            |   |            |    |   |                                                                |   |    |                                               |   |   |                                               |   |   |   |   |   |
| Central      Hudson - electric                        |   | $               | (12,297 | )      |                                                                | $      | -       |                                               |   | $      | -                                                  |   |   | $ | (12,297 | ) |
| Central      Hudson - natural gas                     |   |            | (1,256  | )      |                                                                |   | (1,256  | )                                                  |   |   | -                                                  |   |   |   | - |   |
| Griffith      - other derivative financial instrument |   |            | (284    | )      |                                                                |   | -       |                                               |   |   | (284                                               | )      |   |   | - |   |
| Total      Liabilities                                |   | $               | (13,837 | )      |                                                                | $      | (1,256  | )                                                  |   | $      | (284                                               | )      |   | $ | (12,297 | ) |
|                                                  |   |            |    |   |                                                                |   |    |                                               |   |   |                                               |   |   |   |   |   |
| As      of December 31, 2008                          |   |            |    |   |                                                                |   |    |                                               |   |   |                                               |   |   |   |   |   |
| Liabilities                                           |   |            |    |   |                                                                |   |    |                                               |   |   |                                               |   |   |   |   |   |
| Derivative      Contracts:                            |   |            |    |   |                                                                |   |    |                                               |   |   |                                               |   |   |   |   |   |
| Central      Hudson - electric                        |   | $               | (5,538  | )      |                                                                | $      | -       |                                               |   | $      | -                                                  |   |   | $ | (5,538 | ) |
| Central      Hudson - natural gas                     |   |            | (10,221 | )      |                                                                |   | (10,221 | )                                                  |   |   | -                                                  |   |   |   | - |   |
| Central      Hudson - interest rate cap               |   |            | -       |   |                                                                |   | -       |                                               |   |   | -                                                  |   |   |   | - |   |
| Total      Liabilities                                |   | $               | (15,759 | )      |                                                                | $      | (10,221 | )                                                  |   | $      | -                                                  |   |   | $ | (5,538 | ) |

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|                                                                                                                                                                                                |   | Year      Ended        |    |
|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|------------------------|---------|
|                                                                                                                                                                                                |   | December      31, 2009 |    |   | December      31, 2008 |   |
| Balance      at Beginning of Period                                                                                                                                                                 |   | $                      | (5,538  | ) |   | $ | 77 |   |
| Unrealized      gains/(losses)                                                                                                                                                                      |   |                   | (6,445  | ) |   |   | (5,615 | ) |
| Realized      losses                                                                                                                                                                                |   |                   | (26,018 | ) |   |   | (6,553 | ) |
| Purchases,      issuances, sales and settlements                                                                                                                                                    |   |                   | 26,018  |   |   |   | 6,553 |   |
| Transfers      in and/or out of Level 3                                                                                                                                                             |   |                   | -       |   |   |   | - |   |
| Balance      at End of Period                                                                                                                                                                       |   | $                      | (11,983 | ) |   | $ | (5,538 | ) |
|                                                                                                                                                                                                |   |                   |    |   |   |   |   |   |
| The      amount of total gains or losses for the period included in earnings      attributable to the change in unrealized gains or losses relating to      derivatives still held at end of period |   | $                      | -       |   |   | $ | - |   |

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Table of Contents

|                                   |                        |   |   |   |   |   |   |   |   |   |       |   |                                   |   |            |   |   |   |   |    |   |   |    |    |
|----------------------------------------|-----------------------------|--------|--------|--------|--------|--------|--------|--------|--------|--------|------------|--------|----------------------------------------|--------|-----------------|--------|--------|--------|--------|---------|--------|--------|---------|---------|
| December      31, 2009                 |                        |   |   |   |   |   |   |   |   |   |       |   |                                   |   |            |   |   |   |   |    |   |   |    |    |
|                                   | Expected      Maturity Date |   |
|                                   | 2010                        |   | 2011   |   | 2012   |   | 2013   |   | 2014   |   | Thereafter |   | Total                                  |   | Fair      Value |   |
| Fixed      Rate:                       |                        | $      | 24,000 |   |   | $      | 941    |   |   | $      | 37,007     |   |                                   | $      | 31,076          |   |   | $      | 41,650 |    |   | $      | 237,373 |    |   | $ | 372,047 |   |   | $ | 385,527 |   |
| Estimated      Effective Interest Rate |                        |   | 4.38   | %      |   |   | 6.86   | %      |   |   | 6.71       | %      |                                   |   | 6.92            | %      |   |   | 6.02   | %       |   |   | 5.94    | %       |   |   | 6.01 | % |   |   |   |   |
| Variable      Rate:                    |                        | $      | -      |   |   | $      | -      |   |   | $      | -          |   |                                   | $      | -               |   |   | $      | -      |    |   | $      | 115,850 |    |   | $ | 115,850 |   |   | $ | 115,850 |   |
| Estimated      Effective Interest Rate |                        |   |   |   |   |   |   |   |   |   |       |   |                                   |   |            |   |   |   |   |    |   |   | 0.82    | %       |   |   | 0.82 | % |   |   |   |   |
|                                   |                        |   |   |   |   |   |   |   |   |   |       |   | Total      Debt Outstanding            |   |            |   |   |   | $      | 487,897 |   |   | $       | 501,377 |   |
|                                   |                        |   |   |   |   |   |   |   |   |   |       |   | Estimated      Effective Interest Rate |   |            |   | 4.78   | %      |   |    |   |   |
|                                   |                        |   |   |   |   |   |   |   |   |   |       |   |                                   |   |            |   |   |   |   |    |   |   |    |    |   |   |   |   |   |   |   |   |

| December      31, 2008                 |   |                        |   |   |   |   |   |   |   |   |   |   |                                   |       |   |   |   |   |   |            |   |   |    |    |
|----------------------------------------|--------|-----------------------------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|----------------------------------------|------------|--------|--------|--------|--------|--------|-----------------|--------|--------|---------|---------|
|                                   |   | Expected      Maturity Date |   |
|                                   |   | 2009                        |   |   | 2010   |   |   | 2011   |   | 2012   |   | 2013   |                                   | Thereafter |   |   | Total  |   |   | Fair      Value |   |
| Fixed      Rate:                       |   | $                           | 20,000 |   |   | $      | 24,000 |   |   | $      | -      |   |                                   | $          | 36,000 |   |   | $      | 30,000 |            |   | $      | 208,044 |    |   | $ | 318,044 |   |   | $ | 296,086 |   |
| Estimated      Effective Interest Rate |   |                        | 6.06   | %      |   |   | 4.38   | %      |   |   | -      | %      |                                   |       | 6.71   | %      |   |   | 6.92   | %               |   |   | 5.79    | %       |   |   | 5.91 | % |   |   |   |   |
| Variable      Rate:                    |   | $                           | -      |   |   | $      | -      |   |   | $      | -      |   |                                   | $          | -      |   |   | $      | -      |            |   | $      | 115,850 |    |   | $ | 115,850 |   |   | $ | 115,850 |   |
| Estimated      Effective Interest Rate |   |                        |   |   |   |   |   |   |   |   |   |   |                                   |       |   |   |   |   |   |            |   |   | 4.10    | %       |   |   | 4.10 | % |   |   |   |   |
|                                   |   |                        |   |   |   |   |   |   |   |   |   |   | Total      Debt Outstanding            |       |   |   |   |   | $      | 433,894         |   |   | $       | 411,936 |   |
|                                   |   |                        |   |   |   |   |   |   |   |   |   |   | Estimated      Effective Interest Rate |       |   |   | 5.43   | %      |   |            |   |   |
|                                   |   |                        |   |   |   |   |   |   |   |   |   |   |                                   |       |   |   |   |   |   |            |   |   |    |    |   |   |   |   |   |   |   |   |

| December      31, 2007                 |   |                        |   |   |   |   |   |   |   |   |   |   |                                   |       |   |   |   |   |   |            |   |   |    |    |
|----------------------------------------|--------|-----------------------------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|----------------------------------------|------------|--------|--------|--------|--------|--------|-----------------|--------|--------|---------|---------|
|                                   |   | Expected      Maturity Date |   |
|                                   |   | 2008                        |   |   | 2009   |   |   | 2010   |   | 2011   |   | 2012   |                                   | Thereafter |   |   | Total  |   |   | Fair      Value |   |
| Fixed      Rate:                       |   | $                           | -      |   |   | $      | 20,000 |   |   | $      | 24,000 |   |                                   | $          | -      |   |   | $      | 36,000 |            |   | $      | 208,042 |    |   | $ | 288,042 |   |   | $ | 287,308 |   |
| Estimated      Effective Interest Rate |   |                        | -      | %      |   |   | 6.07   | %      |   |   | 4.38   | %      |                                   |       | -      | %      |   |   | 6.64   | %               |   |   | 5.48    | %       |   |   | 6.30 | % |   |   |   |   |
| Variable      Rate:                    |   | $                           | -      |   |   | $      | -      |   |   | $      | -      |   |                                   | $          | -      |   |   | $      | -      |            |   | $      | 115,850 |    |   | $ | 115,850 |   |   | $ | 115,850 |   |
| Estimated      Effective Interest Rate |   |                        |   |   |   |   |   |   |   |   |   |   |                                   |       |   |   |   |   |   |            |   |   | 3.69    | %       |   |   | 3.69 | % |   |   |   |   |
|                                   |   |                        |   |   |   |   |   |   |   |   |   |   | Total      Debt Outstanding            |       |   |   |   |   | $      | 403,892         |   |   | $       | 403,158 |   |
|                                   |   |                        |   |   |   |   |   |   |   |   |   |   | Estimated      Effective Interest Rate |       |   |   | 5.49   | %      |   |            |   |   |

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Table of Contents

| Central      Hudson                           |                        |
|-----------------------------------------------|-----------------------------|
| Long-term Debt Maturities and Fair      Value |                        |
| (Dollars      in Thousands)                   |                        |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                                          |                        |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| December      31, 2009                        |                        |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                                          | Expected      Maturity Date |   |
|                                          | 2010                        |   | 2011 |   | 2012 |   | 2013 |   | 2014 |   | Thereafter |   | Total |   | Fair      Value |   |
| Fixed      Rate:                              |                        | $ | 24,000 |   |   | $ | - |   |   | $ | 36,000 |   |   | $ | 30,000 |   |   | $ | 14,000 |   |   | $ | 218,047 |   |   | $ | 322,047 |   |   | $ | 332,908 |   |
| Estimated      Effective Interest Rate        |                        |   | 4.38 | % |   |   | - | % |   |   | 6.71 | % |   |   | 6.93 | % |   |   | 4.81 | % |   |   | 5.86 | % |   |   | 5.90 | % |   |   |   |   |
| Variable      Rate:                           |                        | $ | - |   |   | $ | - |   |   | $ | - |   |   | $ | - |   |   | $ | - |   |   | $ | 115,850 |   |   | $ | 115,850 |   |   | $ | 115,850 |   |
| Estimated      Effective Interest Rate        |                        |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   | 0.82 | % |   |   | 0.82 | % |   |   |   |   |
|                                          |                        |   |   |   |   |   |   |   |   |   |   |   | Total      Debt Outstanding |   |   | $ | 437,897 |   |   | $ | 448,758 |   |
|                                          |                        |   |   |   |   |   |   |   |   |   |   |   | Estimated      Effective Interest Rate |   |   |   | 4.56 | % |   |   |   |   |

| December      31, 2008                 |   |                        |   |   |   |   |   |   |   |   |   |   |                                   |       |   |   |    |   |   |            |    |   |    |   |
|----------------------------------------|--------|-----------------------------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|----------------------------------------|------------|--------|--------|---------|--------|--------|-----------------|---------|--------|---------|--------|
|                                   |   | Expected      Maturity Date |   |
|                                   |   | 2009                        |   |   | 2010   |   |   | 2011   |   | 2012   |   | 2013   |                                   | Thereafter |   |   | Total   |   |   | Fair      Value |    |
| Fixed      Rate:                       |   | $                           | 20,000 |   |   | $      | 24,000 |   |   | $      | -      |   |                                   | $          | 36,000 |   |    | $      | 30,000 |            |    | $      | 208,044 |   |   | $ | 318,044 |   |   | $ | 296,086 |   |
| Estimated      Effective Interest Rate |   |                        | 6.06   | %      |   |   | 4.38   | %      |   |   | -      | %      |                                   |       | 6.71   | %      |    |   | 6.92   | %               |    |   | 5.79    | %      |   |   | 5.91 | % |   |   |   |   |
| Variable      Rate:                    |   | $                           | -      |   |   | $      | -      |   |   | $      | -      |   |                                   | $          | -      |   |    | $      | -      |            |    | $      | 115,850 |   |   | $ | 115,850 |   |   | $ | 115,850 |   |
| Estimated      Effective Interest Rate |   |                        |   |   |   |   |   |   |   |   |   |   |                                   |       |   |   |    |   |   |            |    |   | 4.10    | %      |   |   | 4.10 | % |   |   |   |   |
|                                   |   |                        |   |   |   |   |   |   |   |   |   |   | Total      Debt Outstanding            |       |   | $      | 433,894 |   |   | $               | 411,936 |   |
|                                   |   |                        |   |   |   |   |   |   |   |   |   |   | Estimated      Effective Interest Rate |       |   |   | 5.43    | %      |   |            |    |   |

| December      31, 2007                 |   |                        |   |   |   |   |   |   |   |   |   |   |                                   |       |   |   |    |   |   |            |    |   |    |   |
|----------------------------------------|--------|-----------------------------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|----------------------------------------|------------|--------|--------|---------|--------|--------|-----------------|---------|--------|---------|--------|
|                                   |   | Expected      Maturity Date |   |
|                                   |   | 2008                        |   |   | 2009   |   |   | 2010   |   | 2011   |   | 2012   |                                   | Thereafter |   |   | Total   |   |   | Fair      Value |    |
| Fixed      Rate:                       |   | $                           | -      |   |   | $      | 20,000 |   |   | $      | 24,000 |   |                                   | $          | -      |   |    | $      | 36,000 |            |    | $      | 208,042 |   |   | $ | 288,042 |   |   | $ | 287,308 |   |
| Estimated      Effective Interest Rate |   |                        | -      | %      |   |   | 6.07   | %      |   |   | 4.38   | %      |                                   |       | -      | %      |    |   | 6.64   | %               |    |   | 5.48    | %      |   |   | 6.30 | % |   |   |   |   |
| Variable      Rate:                    |   | $                           | -      |   |   | $      | -      |   |   | $      | -      |   |                                   | $          | -      |   |    | $      | -      |            |    | $      | 115,850 |   |   | $ | 115,850 |   |   | $ | 115,850 |   |
| Estimated      Effective Interest Rate |   |                        |   |   |   |   |   |   |   |   |   |   |                                   |       |   |   |    |   |   |            |    |   | 3.69    | %      |   |   | 3.69 | % |   |   |   |   |
|                                   |   |                        |   |   |   |   |   |   |   |   |   |   | Total      Debt Outstanding            |       |   | $      | 403,892 |   |   | $               | 403,158 |   |
|                                   |   |                        |   |   |   |   |   |   |   |   |   |   | Estimated      Effective Interest Rate |       |   |   | 5.49    | %      |   |            |    |   |

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NOTE 16 -SUBSEQUENT 

----

Table of Contents

|                |   | Operating      Revenues |    |   | Operating      Income |   |   | Net      Income/(Loss) from Continuing Operations |   |   | Net      Income/(Loss) from Discontinued Operations, Net of Tax |   |   | Earnings      Per Average Share of CommonStock      (Diluted) Outstanding |   |
|---------------------|--------|-------------------------|---------|--------|-----------------------|--------|--------|---------------------------------------------------|--------|--------|-----------------------------------------------------------------|--------|--------|---------------------------------------------------------------------------|--------|
| Quarter      Ended: |   |                    |    |   |                  |   |   |                                              |   |   |                                                            |   |   |                                                                      |   |
|                |   |                    |    |   |                  |   |   |                                              |   |   |                                                            |   |   |                                                                      |   |
| 2009                |   |                    |    |   |                  |   |   |                                              |   |   |                                                            |   |   |                                                                      |   |
| March      31       |   | $                       | 322,096 |   |                  | $      | 36,900 |                                              |   | $      | 18,955                                                          |   |   | $                                                                         | 4,376  |   |   | $ | 1.46 |   |
| June      30        |   |                    | 178,619 |   |                  |   | 4,064  |                                              |   |   | (988                                                            | )      |   |                                                                      | (384   | ) |   |   | (0.09 | ) |
| September      30   |   |                    | 195,947 |   |                  |   | 17,651 |                                              |   |   | 6,633                                                           |   |   |                                                                      | (991   | ) |   |   | 0.34 |   |
| December      31    |   |                    | 234,927 |   |                  |   | 21,784 |                                              |   |   | 9,827                                                           |   |   |                                                                      | 6,850  |   |   |   | 1.03 |   |
|                |   |                    |    |   |                  |   |   |                                              |   |   |                                                            |   |   |                                                                      |   |   |   |   |   |   |
| 2008                |   |                    |    |   |                  |   |   |                                              |   |   |                                                            |   |   |                                                                      |   |   |   |   |   |   |
| March      31       |   | $                       | 334,079 |   |                  | $      | 31,857 |                                              |   | $      | 17,545                                                          |   |   | $                                                                         | 2,082  |   |   | $ | 1.22 |   |
| June      30        |   |                    | 273,045 |   |                  |   | 9,036  |                                              |   |   | 2,772                                                           |   |   |                                                                      | (882   | ) |   |   | 0.11 |   |
| September      30   |   |                    | 270,371 |   |                  |   | 10,944 |                                              |   |   | 4,323                                                           |   |   |                                                                      | (1,127 | ) |   |   | 0.18 |   |
| December      31    |   |                    | 261,706 |   |                  |   | 19,115 |                                              |   |   | 7,969                                                           |   |   |                                                                      | 3,472  |   |   |   | 0.71 |   |

| (1) | Amounts      differ from those previously reported as a result of the presentation of      discontinued operations due to meeting certain criteria requiring this      presentation in the fourth quarter2009. |
|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

SELECTED 

|                |   | Operating      Revenues |    |   | Operating      Income |   |   | Income      Available for Common Stock |   |
|---------------------|--------|-------------------------|---------|--------|-----------------------|--------|--------|----------------------------------------|--------|
| Quarter      Ended: |   |                    |    |   |                  |   |   |                                   |   |
|                |   |                    |    |   |                  |   |   |                                   |   |
| 2009                |   |                    |    |   |                  |   |   |                                   |   |
| March      31       |   | $                       | 246,876 |   |                  | $      | 27,231 |                                   |   | $ | 12,351 |   |
| June      30        |   |                    | 139,653 |   |                  |   | 7,368  |                                   |   |   | 975 |   |
| September      30   |   |                    | 154,928 |   |                  |   | 20,920 |                                   |   |   | 8,629 |   |
| December      31    |   |                    | 168,850 |   |                  |   | 20,819 |                                   |   |   | 9,851 |   |
|                |   |                    |    |   |                  |   |   |                                   |   |   |   |   |
| 2008                |   |                    |    |   |                  |   |   |                                   |   |   |   |   |
| March      31       |   | $                       | 220,033 |   |                  | $      | 24,710 |                                   |   | $ | 11,505 |   |
| June      30        |   |                    | 190,119 |   |                  |   | 11,680 |                                   |   |   | 3,949 |   |
| September      30   |   |                    | 200,774 |   |                  |   | 15,691 |                                   |   |   | 5,885 |   |
| December      31    |   |                    | 186,781 |   |                  |   | 15,263 |                                   |   |   | 4,929 |   |

----

Table of Contents

| SCHEDULE I - CONDENSED FINANCIAL INFORMATION                           |   |
|------------------------------------------------------------------------|--------|
| CH      ENERGY GROUP - (PARENT COMPANY ONLY)                           |   |
|                                                                   |   |   |   |   |   |   |   |   |   |
| STATEMENT OF INCOME                                                    |   |
| (In      Thousands, except per share amounts)                          |   |   |   |   |   |   |   |   |   |
|                                                                   |   | Year      Ended December 31, |   |
|                                                                   |   | 2009 |   |   | 2008 |   |   | 2007 |   |
| Business      development costs                                        |   | $ | (2,012 | ) |   | $ | (1,589 | ) |   | $ | (1,451 | ) |
| Interest      income                                                   |   |   | 4,131 |   |   |   | 4,543 |   |   |   | 6,045 |   |
| Other      income (deductions)                                         |   |   | (2,380 | ) |   |   | (185 | ) |   |   | (93 | ) |
| Income      before equity in earnings of subsidiaries and income taxes |   |   | (261 | ) |   |   | 2,769 |   |   |   | 4,501 |   |
| Equity      in earnings of subsidiaries                                |   |   | 44,298 |   |   |   | 32,859 |   |   |   | 38,275 |   |
| Income      before income taxes                                        |   |   | 44,037 |   |   |   | 35,628 |   |   |   | 42,776 |   |
| Income      taxes                                                      |   |   | 553 |   |   |   | 547 |   |   |   | 140 |   |
|                                                                   |   |   |   |   |   |   |   |   |   |   |   |   |
| Net      Income                                                        |   | $ | 43,484 |   |   | $ | 35,081 |   |   | $ | 42,636 |   |
|                                                                   |   |   |   |   |   |   |   |   |   |   |   |   |
| Common      Stock:                                                     |   |   |   |   |   |   |   |   |   |   |   |   |
| Average      shares outstanding                                        |   |   |   |   |   |   |   |   |   |   |   |   |
| Basic                                                                  |   |   | 15,775 |   |   |   | 15,768 |   |   |   | 15,762 |   |
| Diluted                                                                |   |   | 15,881 |   |   |   | 15,805 |   |   |   | 15,779 |   |
|                                                                   |   |   |   |   |   |   |   |   |   |   |   |   |
| Earnings      per share                                                |   |   |   |   |   |   |   |   |   |   |   |   |
| Basic                                                                  |   | $ | 2.76 |   |   | $ | 2.22 |   |   | $ | 2.70 |   |
| Diluted                                                                |   | $ | 2.74 |   |   | $ | 2.22 |   |   | $ | 2.70 |   |
|                                                                   |   |   |   |   |   |   |   |   |   |   |   |   |
| Dividends      declared per share                                      |   | $ | 2.16 |   |   | $ | 2.16 |   |   | $ | 2.16 |   |

----

Table of Contents

| SCHEDULE      I - CONDENSED FINANCIAL INFORMATION              |   |
|----------------------------------------------------------------|--------|
| CH      ENERGY GROUP - (PARENT COMPANY ONLY)                   |   |
|                                                           |   |   |   |   |   |   |   |   |   |
| STATEMENT OF CASH FLOWS                                        |   |   |   |   |   |   |   |   |   |
| (In      Thousands)                                            |   |   |   |   |   |   |   |   |   |
|                                                           |   | Year      Ended December 31, |   |
|                                                           |   | 2009 |   |   | 2008 |   |   | 2007 |   |
| Operating      Activities:                                     |   |   |   |   |   |   |   |   |   |
| Net      income                                                |   | $ | 43,484 |   |   | $ | 35,081 |   |   | $ | 42,636 |   |
| Equity      in earnings of subsidiary companies                |   |   | (45,092 | ) |   |   | (32,859 | ) |   |   | (38,275 | ) |
| Changes      in current assets and liabilities:                |   |   |   |   |   |   |   |   |   |   |   |   |
| Cash      dividends received from subsidiaries                 |   |   | 5,000 |   |   |   | 3,250 |   |   |   | 18,500 |   |
| Accrued      taxes                                             |   |   | (493 | ) |   |   | 3,001 |   |   |   | (2,999 | ) |
| Other      - net                                               |   |   | 220 |   |   |   | 378 |   |   |   | 539 |   |
| Net      cash flows provided by operating activities           |   |   | 3,119 |   |   |   | 8,851 |   |   |   | 20,401 |   |
|                                                           |   |   |   |   |   |   |   |   |   |   |   |   |
| Investing      Activities:                                     |   |   |   |   |   |   |   |   |   |   |   |   |
| Investment      in subsidiaries                                |   |   | 30,950 |   |   |   | 29,854 |   |   |   | (40,060 | ) |
| Purchase      of short-term investments                        |   |   | - |   |   |   | - |   |   |   | (69,293 | ) |
| Proceeds      from issuance of long-term debt                  |   |   | 50,000 |   |   |   | - |   |   |   | - |   |
| Proceeds      from sale of short-term investments              |   |   | - |   |   |   | 3,545 |   |   |   | 108,359 |   |
| Net      cash flows provided by/(used in) investing activities |   |   | 80,950 |   |   |   | 33,399 |   |   |   | (994 | ) |
|                                                           |   |   |   |   |   |   |   |   |   |   |   |   |
| Financing      Activities:                                     |   |   |   |   |   |   |   |   |   |   |   |   |
| Cash      dividends on common shares                           |   |   | (34,107 | ) |   |   | (34,081 | ) |   |   | (34,046 | ) |
| Net      cash flows used in financing activities               |   |   | (34,107 | ) |   |   | (34,081 | ) |   |   | (34,046 | ) |
|                                                           |   |   |   |   |   |   |   |   |   |   |   |   |
| Net      change in cash and cash equivalents                   |   |   | 49,962 |   |   |   | 8,169 |   |   |   | (14,639 | ) |
|                                                           |   |   |   |   |   |   |   |   |   |   |   |   |
| Cash      and cash equivalents - beginning of the year         |   |   | 11,329 |   |   |   | 3,160 |   |   |   | 17,799 |   |
| Cash      and cash equivalents - end of the year               |   | $ | 61,291 |   |   | $ | 11,329 |   |   | $ | 3,160 |   |

----

Table of Contents

| SCHEDULE      I - CONDENSED FINANCIAL INFORMATION |   |
|---------------------------------------------------|--------|
| CH      ENERGY GROUP - (PARENT COMPANY ONLY)      |   |
|                                              |   |   |   |   |   |   |
| BALANCE SHEET                                     |   |
| (In      Thousands)                               |   |   |   |   |   |   |
|                                              |   | December      31, 2009 |   |   | December      31, 2008 |   |
| ASSETS                                            |   |   |   |   |   |   |
| Current      Assets                               |   |   |   |   |   |   |
| Cash      and cash equivalents                    |   | $ | 61,291 |   |   | $ | 11,329 |   |
| Prepaid      income tax                           |   |   | 1,863 |   |   |   | - |   |
| Prepayments                                       |   |   | 808 |   |   |   | 266 |   |
| Accounts      receivable from subsidiaries        |   |   | 362 |   |   |   | 775 |   |
| Other                                             |   |   | 26 |   |   |   | 13 |   |
| Total      Current Assets                         |   |   | 64,350 |   |   |   | 12,383 |   |
|                                              |   |   |   |   |   |   |   |   |
| Other      Assets                                 |   |   |   |   |   |   |   |   |
| Investments      in subsidiaries                  |   |   | 528,743 |   |   |   | 520,150 |   |
| Total      Other Assets                           |   |   | 528,743 |   |   |   | 520,150 |   |
|                                              |   |   |   |   |   |   |   |   |
| Total      Assets                                 |   | $ | 593,093 |   |   | $ | 532,533 |   |
|                                              |   |   |   |   |   |   |   |   |
| CAPITALIZATION      AND LIABILITIES               |   |   |   |   |   |   |   |   |
| Capitalization                                    |   |   |   |   |   |   |   |   |
| Common      stock                                 |   | $ | 1,686 |   |   | $ | 1,686 |   |
| Paid-in      capital                              |   |   | 350,483 |   |   |   | 350,873 |   |
| Retained      earnings                            |   |   | 225,999 |   |   |   | 216,634 |   |
| Treasury      stock                               |   |   | (44,406 | ) |   |   | (45,386 | ) |
| Accumulated      other comprehensive income       |   |   | 184 |   |   |   | 55 |   |
| Capital      stock expense                        |   |   | (328 | ) |   |   | (328 | ) |
| Total      Capitalization                         |   |   | 533,618 |   |   |   | 523,534 |   |
|                                              |   |   |   |   |   |   |   |   |
| Current      Liabilities                          |   |   |   |   |   |   |   |   |
| Dividends      payable                            |   |   | 8,534 |   |   |   | 8,523 |   |
| Accounts      payable                             |   |   | 511 |   |   |   | 36 |   |
| Accrued      taxes                                |   |   | - |   |   |   | 440 |   |
| Accrued      interest                             |   |   | 430 |   |   |   | - |   |
| Total      Current Liabilities                    |   |   | 9,475 |   |   |   | 8,999 |   |
|                                              |   |   |   |   |   |   |   |   |
| Long      Term Liabilities                        |   |   |   |   |   |   |   |   |
| Private      Placement Debt                       |   |   | 50,000 |   |   |   | - |   |
| Total      Long Term Liabilities                  |   |   | 50,000 |   |   |   | - |   |
|                                              |   |   |   |   |   |   |   |   |
| Total      Capitalization and Liabilities         |   | $ | 593,093 |   |   | $ | 532,533 |   |

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| SCHEDULE II - RESERVES - CH ENERGY GROUP |   |                                |   |   |                              |   |   |
|------------------------------------------|--------|-------------------------------------|--------|--------|-----------------------------------|--------|--------|
| (In      Thousands)                      |   |                                |   |   |                              |   |   |   |   |   |   |   |   |   |   |
|                                     |   |                                |   |   |                              |   |   |   |   |   |   |   |   |   |   |
| Description                              |   | Balance      at Beginning of Period |   |   | Charged      to Cost and Expenses |   |   | Charged      to Other Accounts |   |   | Payments      and Other Reductions to Reserves |   |   | Balanceat      Endof      Period |   |
| YEAR      ENDED DECEMBER 31, 2009        |   |                                |   |   |                              |   |   |   |   |   |   |   |   |   |   |
|                                     |   |                                |   |   |                              |   |   |   |   |   |   |   |   |   |   |
| Operating      Reserves                  |   | $                                   | 5,155  |   |                              | $      | 1,265  |   |   | $ | 125 |   |   | $ | 1,789 |   |   | $ | 4,756 |   |
|                                     |   |                                |   |   |                              |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Reserve      for Uncollectible Accounts  |   | $                                   | 8,816  |   |                              | $      | 11,515 |   |   | $ | 2,453 |   |   | $ | 15,048 |   |   | $ | 7,736 |   |
|                                     |   |                                |   |   |                              |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| YEAR      ENDED DECEMBER 31, 2008        |   |                                |   |   |                              |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                                     |   |                                |   |   |                              |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Operating      Reserves                  |   | $                                   | 5,212  |   |                              | $      | 1,834  |   |   | $ | 165 |   |   | $ | 2,056 |   |   | $ | 5,155 |   |
|                                     |   |                                |   |   |                              |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Reserve      for Uncollectible Accounts  |   | $                                   | 4,829  |   |                              | $      | 12,470 |   |   | $ | - |   |   | $ | 8,483 |   |   | $ | 8,816 |   |
|                                     |   |                                |   |   |                              |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| YEAR      ENDED DECEMBER 31, 2007        |   |                                |   |   |                              |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                                     |   |                                |   |   |                              |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Operating      Reserves                  |   | $                                   | 4,906  |   |                              | $      | 1,879  |   |   | $ | 65 |   |   | $ | 1,638 |   |   | $ | 5,212 |   |
|                                     |   |                                |   |   |                              |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Reserve      for Uncollectible Accounts  |   | $                                   | 5,761  |   |                              | $      | 5,853  |   |   | $ | - |   |   | $ | 6,785 |   |   | $ | 4,829 |   |

| SCHEDULE II - RESERVES - CENTRAL HUDSON |   |                                |   |   |                              |   |   |
|-----------------------------------------|--------|-------------------------------------|--------|--------|-----------------------------------|--------|--------|
| (In      Thousands)                     |   |                                |   |   |                              |   |   |   |   |   |   |   |   |   |   |
|                                    |   |                                |   |   |                              |   |   |   |   |   |   |   |   |   |   |
| Description                             |   | Balance      at Beginning of Period |   |   | Charged      to Cost and Expenses |   |   | Charged      to Other Accounts |   |   | Payments      and Other Reductions to Reserves |   |   | Balanceat      Endof      Period |   |
| YEAR      ENDED DECEMBER 31, 2009       |   |                                |   |   |                              |   |   |   |   |   |   |   |   |   |   |
|                                    |   |                                |   |   |                              |   |   |   |   |   |   |   |   |   |   |
| Operating      Reserves                 |   | $                                   | 3,898  |   |                              | $      | 713    |   |   | $ | 125 |   |   | $ | 1,233 |   |   | $ | 3,503 |   |
|                                    |   |                                |   |   |                              |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Reserve      for Uncollectible Accounts |   | $                                   | 4,000  |   |                              | $      | 8,833  |   |   | $ | 3,327 |   |   | $ | 10,360 |   |   | $ | 5,800 |   |
|                                    |   |                                |   |   |                              |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| YEAR      ENDED DECEMBER 31, 2008       |   |                                |   |   |                              |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                                    |   |                                |   |   |                              |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Operating      Reserves                 |   | $                                   | 4,243  |   |                              | $      | 921    |   |   | $ | 165 |   |   | $ | 1,431 |   |   | $ | 3,898 |   |
|                                    |   |                                |   |   |                              |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Reserve      for Uncollectible Accounts |   | $                                   | 2,761  |   |                              | $      | 7,892  |   |   | $ | - |   |   | $ | 6,653 |   |   | $ | 4,000 |   |
|                                    |   |                                |   |   |                              |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| YEAR      ENDED DECEMBER 31, 2007       |   |                                |   |   |                              |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                                    |   |                                |   |   |                              |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Operating      Reserves                 |   | $                                   | 3,936  |   |                              | $      | 991    |   |   | $ | 65 |   |   | $ | 749 |   |   | $ | 4,243 |   |
|                                    |   |                                |   |   |                              |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Reserve      for Uncollectible Accounts |   | $                                   | 3,800  |   |                              | $      | 4,850  |   |   | $ | - |   |   | $ | 5,889 |   |   | $ | 2,761 |   |

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| ITEM 9      - | CHANGES IN AND      DISAGREEMENTS WITH ACCOUNTANTS ON ACCOUNTING AND FINANCIAL      DISCLOSURE |
|---------------|------------------------------------------------------------------------------------------------|

|   | None. |
|--------|-------|

| ITEM 9A      - | CONTROLS AND      PROCEDURES |
|----------------|------------------------------|

| ITEM 9B      - | OTHER      INFORMATION |
|----------------|------------------------|

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| ITEM 10      - | DIRECTORS AND      EXECUTIVE OFFICERS OF CH ENERGYGROUP |
|----------------|---------------------------------------------------------|

| ITEM 11      - | EXECUTIVE      COMPENSATION |
|----------------|-----------------------------|

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| ITEM 12      - | SECURITY OWNERSHIP OF      CERTAIN BENEFICIAL OWNERS AND MANAGEMENT      AND RELATED STOCKHOLDER  MATTERS |
|----------------|-----------------------------------------------------------------------------------------------------------|

| Plan      Category                                                        |   |   | Number      of securities to be issued upon exercise of outstanding options, warrants      and rights(a) |   |   | Weighted      average exercise price of outstanding options, warrants and      rights(b) |   |   | Number      of securities remaining available for future issuance under equity-based      compensation plans (excluding securities reflected in column      (a))(c) |   |
|---------------------------------------------------------------------------|--------|--------|----------------------------------------------------------------------------------------------------------|--------|--------|------------------------------------------------------------------------------------------|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|
| Equity      compensation plans      approved by security holders     |   |   |                                                                                                     | 35,980 | (1)    |                                                                                     | $      | 46.27  |                                                                                                                                                                |   |   | 143,619 | (2) |
| Equity      compensation plans      not approved by security holders |   |   |                                                                                                     | -      |   |                                                                                     |   | -      |                                                                                                                                                                |   |   | - |   |
| Total                                                                     |   |   |                                                                                                     | 35,980 |   |                                                                                     | $      | 46.27  |                                                                                                                                                                |   |   | 143,619 |   |

| ITEM 13      - | CERTAIN RELATIONSHIPS      AND RELATED TRANSACTIONS AND DIRECTOR  INDEPENDENCE |
|----------------|--------------------------------------------------------------------------------|

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| ITEM 14      - | PRINCIPAL ACCOUNTANT      FEES AND SERVICES |
|----------------|---------------------------------------------|

| PRINCIPAL      ACCOUNTANT FEES AND SERVICES                                        |   |   |    |   |
|------------------------------------------------------------------------------------|--------|--------|---------|--------|
|                                                                               |   |   |    |   |   |   |
| PricewaterhouseCoopers      LLP                                                    |   | 2009   |    |   | 2008 |   |
| Audit      Fees                                                                    |   | $      | 785,969 |   |   | $ | 758,441 |   |
| Tax      Fees                                                                      |   |   |    |   |   |   |   |   |
| Includes      review of federal and state income tax returns and tax      research |   |   | 10,700  |   |   |   | 14,200 |   |
| All      Other Fees                                                                |   |   |    |   |   |   |   |   |
| Includes      software licensing fee for accounting research tool                  |   |   | -       |   |   |   | 750 |   |
| TOTAL                                                                              |   | $      | 796,669 |   |   | $ | 773,391 |   |

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| ITEM 15      - | EXHIBITS AND FINANCIAL      STATEMENT SCHEDULES |
|----------------|-------------------------------------------------|

| (a) | Documents filed as      part of this 10-K AnnualReport |
|-----|--------------------------------------------------------|

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|                                     | CH      ENERGY GROUP, INC.    |
|------------------------------------------|-------------------------------|
|                                     |                          |   |   |
|                                     |                          |   |   |
|                                     |                          |   |   |
|                                     | By                            | /s/      Steven V. Lant |   |
|                                     |                          | Steven      V. Lant |   |
|                                     |                          | Chairman      of the Board, |   |
|                                     |                          | President      and |   |
|                                     |                          | Chief      Executive Officer |   |
|                                     |                          |   |   |
| Dated:  February      10, 2010 |                          |   |   |
|                                     |                          |   |   |
|                                     | CENTRAL      HUDSON GAS & |
|                                     | ELECTRIC      CORPORATION     |
|                                     |                          |   |   |
|                                     |                          |   |   |
|                                     |                          |   |   |
|                                     | By                            | /s/      Steven V. Lant |   |
|                                     |                          | Steven      V. Lant |   |
|                                     |                          | Chairman      of the Board and |   |
|                                     |                          | Chief      Executive Officer |   |
|                                     |                          |   |   |
| Dated:  February      10, 2010 |                          |   |   |

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| Signature                                         |   | Title                                                                                                                                                                                                                         |   | Date                   |
|---------------------------------------------------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|------------------------|
|                                              |   |                                                                                                                                                                                                                          |   |                   |
| (a)  Principal      Executive Officer:  |   |                                                                                                                                                                                                                          |
|                                              |   |                                                                                                                                                                                                                          |   |                   |
| /s/      Steven V. Lant                           |   |                                                                                                                                                                                                                          |   |                   |
| (Steven      V. Lant)                             |   | Chairman      of the Board,President      andChief      Executive Officerof      CH Energy Group, Inc.and      Chairman of the Boardand      Chief Executive Officerof      Central Hudson Gas&      Electric Corporation |   | February      10, 2010 |
|                                              |   |                                                                                                                                                                                                                          |   |                   |
| (b)  Principal      Accounting Officer: |   |                                                                                                                                                                                                                          |
|                                              |   |                                                                                                                                                                                                                          |   |                   |
| /s/      Kimberly J. Wright                       |   |                                                                                                                                                                                                                          |   |                   |
| (Kimberly      J. Wright)                         |   | Vice      President -Accounting      andController      ofCH      Energy Group, Inc.;Controller      ofCentral      Hudson Gas&      Electric Corporation                                                                 |   | February      10, 2010 |
|                                              |   |                                                                                                                                                                                                                          |   |                   |
| (c)      Principal Financial Officer:             |   |                                                                                                                                                                                                                          |
|                                              |   |                                                                                                                                                                                                                          |   |                   |
| /s/      Christopher M. Capone                    |   |                                                                                                                                                                                                                          |   |                   |
| (Christopher      M. Capone)                      |   | Executive      Vice President andChief      Financial Officerof      CH Energy Group, Inc.and      Central Hudson Gas&      Electric Corporation                                                                          |   | February      10, 2010 |

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| By     | /s/      Steven V. Lant |   |                   |
|--------|-------------------------|--------|------------------------|
|   | (Steven      V. Lant)   |   | February      10, 2010 |

| By     | /s/      Steven V. Lant |   |                   |
|--------|-------------------------|--------|------------------------|
|   | (Steven      V. Lant)   |   | February      10, 2010 |

----

| Designation) |        Exhibits |
|--------------|----------------------|

| _____________ | ________ |
|---------------|----------|

| (2) | Plan      of Acquisition, reorganization, arrangement, liquidation or      succession: |
|-----|----------------------------------------------------------------------------------------|

|   | (i) | Certificate      of Exchange of Shares of Central Hudson Gas & Electric Corporation,      subject corporation, for shares of CH Energy Group, Inc., acquiring      corporation, under Section 913 of the Business Corporation Law of the      State of New York.  (Incorporated herein by reference to Energy      Group's Annual Report, on Form 10-K, for the fiscal year ended December      31, 2000; Exhibit 2(i)) |
|--------|-----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (ii) | Agreement      and Plan of Exchange by and between Central Hudson Gas & Electric      Corporation and CH Energy Group, Inc. (Incorporated herein by reference to      Central Hudson's Current Report on Form 8-K dated December 15, 1999;      Exhibit 2.1) |
|--------|------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (3) | Articles      of Incorporation and Bylaws: |
|-----|--------------------------------------------|

|   | (i) | Restated      Certificate of Incorporation of CH Energy Group, Inc. under Section 807 of      the Business Corporation Law, filed November 12,      1998.  (Incorporated herein by reference to Central Hudson's      Current Report on Form 8-K filed on November 18, 2009; Exhibit      3(i).1) |
|--------|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (ii) | By-laws      of CH Energy Group, Inc. in effect on the date of this Report.      (Incorporated herein by reference to CH Energy Group’s Current Report on      Form 8-K filed on November 18, 2009; Exhibit  3(ii).1) |
|--------|------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|   | (iii) | Composite      Restated Certificate of Incorporation of Central Hudson Gas & Electric      Corporation, as amended, through October 8, 1993 dated May 2, 2008      (Incorporated herein by reference to Central Hudson’s Quarterly Report on      10-Q for the fiscal quarter ended March 31, 2008; Exhibit      3(iii)(1)). |
|--------|-------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (iv) | By-laws      of Central Hudson Gas & Electric Corporation in effect on the date of      this Report.  (Incorporated herein by reference to Central      Hudson’s Current Report on Form 8-K filed on January 5, 2010; Exhibit      3(ii).1) |
|--------|------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (4) | Instruments      defining the rights of security holders, including indentures (see also      Exhibits (3)(i) and (ii) above): |
|-----|--------------------------------------------------------------------------------------------------------------------------------|

|   | (ii) | 1--                 Indenture, dated as of April 1, 1992, between      Central Hudson and U.S. Bank Trust National Association (formerly known as      First Trust of New York, National Association) (as successor trustee to      Morgan Guaranty Trust Company of New York), as Trustee related to      unsecured Medium-Term Notes. |
|--------|------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (ii) | 2--                 Prospectus Supplement dated March 20, 2002      (to Prospectus dated March 14, 2002) relating to $100,000,000 principal      amount of Medium-Term Notes, Series D, and the Prospectus Dated March 14,      2002, relating to $100,000,000 principal amount of Central Hudson's debt      securities attached thereto, as filed pursuant to Rule 424 (b) in      connection with Registration Statement No. 33-83542, and, as applicable to      a tranche of such Medium-Term Notes, each of the  following: |
|--------|------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (a) | Pricing      Supplement No. 2, dated March 25, 2002, as filed pursuant to Rule      424(b). |
|--------|-----|---------------------------------------------------------------------------------------------|

|   | (b) | Pricing      Supplement No. 3, dated September 17, 2003, as filed pursuant to Rule      424(b). |
|--------|-----|-------------------------------------------------------------------------------------------------|

|   | (c) | Pricing      Supplement No. 4, dated February 24, 2004, as filed pursuant to Rule      424(b). |
|--------|-----|------------------------------------------------------------------------------------------------|

----

|   | (ii) | 3--                 Prospectus Supplement dated October 28, 2004 (to      Prospectus dated October 22, 2004) relating to $85,000,000 principal      amount of Medium-Term Notes, Series E, and the Prospectus dated October      22, 2004, relating to $85,000,000 principal amount of Central Hudson's      debt securities attached thereto, as filed pursuant to Rule 424(b) in      connection with Registration Statement No. 333-116286, and, as applicable      to a tranche of such Medium-Term Notes, each of the    following: |
|--------|------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (a) | Pricing      Supplement No. 1, dated October 29, 2004, as filed pursuant to Rule      424(b). |
|--------|-----|-----------------------------------------------------------------------------------------------|

|   | (b) | Pricing      Supplement No. 2, dated November 2, 2004, as filed pursuant to Rule      424(b). |
|--------|-----|-----------------------------------------------------------------------------------------------|

|   | (c) | Pricing      Supplement No. 3, dated November 30, 2005, as filed pursuant to Rule      424(b). |
|--------|-----|------------------------------------------------------------------------------------------------|

|   | (d) | Pricing      Supplement No. 4, dated November 17, 2006, as filed pursuant to Rule      424(b). |
|--------|-----|------------------------------------------------------------------------------------------------|

|   | (ii) | 4--                 Prospectus Supplement dated March 20, 2007      (to Prospectus dated December 1, 2006) relating to $140,000,000 principal      amount of Medium-Term Notes, Series F, and the Prospectus dated December      1, 2006 relating to $140,000,000 principal amount of Central Hudson’s debt      securities attached thereto, as filed on March 20, 2007, pursuant to Rule      424(b) in connection with Registration Statement No. 333-138510, and, as      applicable to a tranche of such Medium-Term Notes, each of the      following: |
|--------|------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (a) | Pricing      Supplement No. 1, Dated March 20, 2007 filed on March 21, 2007, pursuant      to Rule 424(b). |
|--------|-----|------------------------------------------------------------------------------------------------------------|

|   | (b) | Pricing      Supplement No. 2, Dated September 14, 2007 filed on September 14, 2007,      pursuant to Rule 424(b). |
|--------|-----|--------------------------------------------------------------------------------------------------------------------|

|   | (c) | Pricing      Supplement No. 3, Dated November 18, 2008 filed on November 18, 2008,      pursuant to Rule 424(b). |
|--------|-----|------------------------------------------------------------------------------------------------------------------|

|   | (d) | Pricing      Supplement No. 4, Dated September 30, 2009 filed on October 1, 2009,      pursuant to Rule 424(b). |
|--------|-----|-----------------------------------------------------------------------------------------------------------------|

----

|   | (ii) | 5      –            Note      Purchase Agreement, dated as of April 17, 2009, between CH Energy Group      and the purchasers of its 6.58% Senior Notes, Series A, due April 17, 2014      (Incorporated herein by reference to CH Energy Group’s Current Report on      Form 8-K, filed April 20, 2009; Exhibit10.1) |
|--------|------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (ii) | 6      –            Guaranty      Agreement by Central Hudson Enterprises Corporation dated as of April 17,      2009 (Incorporated herein by reference to CH Energy Group’s Current Report      on Form 8-K, filed April 20, 2009; Exhibit10.2) |
|--------|------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (ii) | 7      –                 Supplemental Note Purchase Agreement, dated as of December 15, 2009,      between CH Energy Group and the purchasers of its 6.8% Senior Notes,      Series B, due December 11, 2025 (Incorporated herein by reference to CH      Energy Group’s Current Report on Form 8-K, filed December 16, 2009;      Exhibit 10.2) |
|--------|------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (ii) | 8      --           Central      Hudson and another subsidiary of Energy Group have entered into certain      other instruments with respect to long-term debt. No such instrument      relates to securities authorized thereunder which exceed 10% of the total      assets of Energy Group and its other subsidiaries or Central Hudson, as      the case may be, each on a consolidated basis. Energy Group and Central      Hudson agree to provide the Commission, upon request, copies of any      instruments defining the rights of holders of long-term debt of Central      Hudson and such other subsidiary. |
|--------|------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (10) | Material      contracts: |
|------|--------------------------|

|   | (i) | 1--                 General Joint Use Pole Agreement between Central      Hudson and the New York Telephone Company effective January 1, 1986 (not      including the Administrative and Operating Practices provisions      thereof).  (Incorporated herein by reference to Central Hudson's      Annual Report on Form 10-K/A for the fiscal year ended December 31, 1992;      Exhibit (10)(i)37) |
|--------|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (i) | 2--                 Amended and Restated Credit Agreement      effective as of January 2, 2007 among Central Hudson, certain lenders      described therein and JPMorgan Chase Bank, N.A., as arranger and      administrative agent.  (Incorporated herein by reference to      Central Hudson's Current Report on Form 8-K filed on December 20, 2006;      Exhibit 1) |
|--------|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|   | (i) | 3--                 Second Amendment with Respect to the Amended and      Restated Credit Agreement among Central Hudson, certain lenders described      therein and JPMorgan Chase Bank, N.A., as arranger and administrative      agent.  (Incorporated herein by reference to Central Hudson's      Current Report on Form 8-K filed on February 6, 2008; Exhibit      10.1) |
|--------|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (i) | 4--                 Distribution Agreement dated March 19, 2007 between the      Company, and Banc of America Securities LLC, J.P. Morgan Securities Inc.      and McDonald Investments Inc., as agents.  (Incorporated herein      by reference to Central Hudson's Current Report on Form 8-K filed on March      19, 2007; Exhibit 1) |
|--------|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (i) | 5--                 Amended and Restated Credit Agreement among CH Energy      Group, Inc., Central Hudson Enterprises Corporation and Certain Lending      Institutions (Keybank National Association, JP Morgan Chase Bank, N.A.,      Bank of America, N.A., and HSBC Bank USA) dated February 21,      2008.  (Incorporated herein by reference to CH Energy Group’s      Current Report on Form 8-K filed on February 26, 2008; Exhibit      10.1) |
|--------|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (i) | 6--                 Amendment No. 1 to the Amended and Restated      Credit Agreement among CH Energy Group, Inc., Central Hudson Enterprises      Corporation and Certain Lending Institutions (Keybank National      Association, JP Morgan Chase Bank, N.A., Bank of America, N.A., and HSBC      Bank USA) dated February 4, 2009.  (Incorporated herein by      reference to CH Energy Group’s Current Report on Form 8-K filed on      February 6, 2009; Exhibit 10.1) |
|--------|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (i) | 7--                 Promissory Note of Central Hudson Gas &      Electric Corporation, dated April 23, 2008, payable to the order of      JPMorgan Chase Bank, N.A.  (Incorporated herein by reference to      CH Energy Group’s Annual Report on Form 10-K for the year ended December      31, 2008; Exhibit (10)(i)7) |
|--------|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (i) | 8      --           Promissory      Note of Central Hudson Gas & Electric Corporation, dated February 20,      2008, payable to the order of Bank of America,      N.A.  (Incorporated herein by reference to CH Energy Group’s      Annual Report on Form 10-K for the year ended December 31, 2008; Exhibit      (10)(i)8) |
|--------|-----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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|   | (iii)1 | 1--                 Trust and Agency Agreement, dated      December 15, 1999 and effective January 1, 2000, between the Corporation      and First America Trust Company for the Corporation's Directors and      Executives Deferred Compensation Plan.  (Incorporated herein by      reference to Energy Group's Annual Report on Form 10-K for the fiscal year      ended December 31, 1999; Exhibit(10)(iii)26) |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (iii) | 2--                 Amendment to CH Energy Group, Inc. Directors and      Executives Deferred Compensation Plan Trust Agreement (Incorporated herein      by reference to Energy Group's Annual Report on Form 10-K for the fiscal      year ended December 31, 2003; Exhibit  (10)(iii)29) |
|--------|-------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (iii) | 3--                 Amended and Restated CH Energy Group, Inc. Directors and      Executives Deferred Compensation Plan (Part One), Effective September 26,      2003.  (Incorporated herein by reference to Energy Group’s Form      S-8 filed on October 30, 2003; Exhibit  (10)(iii)26) |
|--------|-------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (iii) | 4--                 Amendment to CH Energy Group, Inc. Directors and      Executives Deferred Compensation Plan.  (Incorporated herein by      reference to Energy Group’s Current Report on Form 8-K filed on June 1,      2006; Exhibit (10)(iii)44) |
|--------|-------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (iii) | 5--                 Amended and Restated CH Energy Group, Inc.      Directors and Executives Deferred Compensation Plan (Part Two), effective      as of January 1, 2008, (dated December 31, 2007).  (Incorporated      herein by reference to Energy Group’s Annual Report on Form 10-K for the      year ended December 31, 2007; Exhibit  (10)(iii)31) |
|--------|-------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (iii) | 6--                 Amendment and Restatement of Central Hudson      Gas & Electric Corporation Retirement Benefit Restoration Plan (Part      One) effective June 22, 2001.  (Incorporated herein by reference      to Energy Group's Annual Report on Form 10-K, for the fiscal year ended      December 31, 2001; Exhibit(10)(iii)24) |
|--------|-------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (iii) | 7--                 Amendment to Central Hudson Gas & Electric      Corporation Retirement Benefit Restoration Plan. (Incorporated herein by      reference to Energy Group’s Current Report on Form 8-K filed on December      21, 2005; Exhibit (10)(iii)42) |
|--------|-------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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|   | (iii) | 8--                 Amended and Restated Central Hudson Gas & Electric      Corporation Retirement Benefit Restoration Plan (Part Two) effective as of      January 1, 2008.  (Incorporated herein by reference to Energy      Group’s Annual Report on Form 10-K for the year ended December 31, 2007;      Exhibit (10)(iii)39) |
|--------|-------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (iii) | 9--                 Amended and Restated CH Energy Group, Inc. Supplemental      Executive Retirement Plan effective as of January 1,      2008.  (Incorporated herein by reference to Energy Group’s      Annual Report on Form 10-K for the year ended December 31, 2007; Exhibit      (10)(iii)37) |
|--------|-------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (iii) | 10--          Amendment      to CH Energy Group, Inc. Supplemental Executive Retirement Plan.      (Incorporated herein by reference to CH Energy Group’s Quarterly Report on      Form 10-Q for the fiscal quarter ended June 30, 2008; Exhibit      (10)(iii)1) |
|--------|-------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (iii) | 11--          Amendment      No. 1, effective January 1, 2001, to Energy Group's Long-Term      Performance-Based Incentive Plan. (Incorporated herein by reference to      Energy Group's Quarterly Report on Form 10-Q for the fiscal quarter ended      March 31, 2001; Exhibit (10)(iii)1) |
|--------|-------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (iii) | 12--          Amendment      No. 2, effective January 1, 2002, to Energy Group's Long-Term      Performance-Based Incentive Plan.  (Incorporated herein by      reference to Energy Group's Annual Report on Form 10-K, for the fiscal      year ended December 31, 2001; Exhibit  (10)(iii)20) |
|--------|-------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (iii) | 13--          Amendment      to CH Energy Group, Inc. Long-Term Performance-Based Incentive Plan, dated      October 24, 2003, effective as of September 26,      2003.  (Incorporated herein by reference to Energy Group's      Annual Report on Form 10-K, for the fiscal year ended December 31, 2003;      Exhibit (10)(iii)28) |
|--------|-------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (iii) | 14--          Amendment      to CH Energy Group, Inc. Long-Term Performance-Based Incentive Plan      effective as of December 31, 2007.  (Incorporated herein by      reference to Energy Group’s Annual Report on Form 10-K for the year ended      December 31, 2007; Exhibit(10)(iii)35) |
|--------|-------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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|   | (iii) | 15--          CH      Energy Group, Inc. Long-Term Equity Incentive Plan, effective as of April      25, 2006.  (Incorporated herein by reference to Appendix A to      Energy Group's proxy statement filed on March 10, 2006; Appendix      A) |
|--------|-------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (iii) | 16--          Amendment      to CH Energy Group, Inc. Long-Term Equity Incentive Plan effective as of      December 31, 2007.  (Incorporated herein by reference to Energy      Group’s Annual Report on Form 10-K for the year ended December 31, 2007;      Exhibit (10)(iii)36) |
|--------|-------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (iii) | 17--          Form      of CH Energy Group, Inc. Performance Shares Agreement. (Incorporated      herein by reference to Energy Group's Current Report on Form 8-K filed on      April 28, 2006; Exhibit(10)(iii)43) |
|--------|-------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (iii) | 18--          Amendment      to CH Energy Group, Inc. Performance Shares Agreements, effective as of      January 1, 2008.  (Incorporated herein by reference to Energy      Group’s Annual Report on Form 10-K for the year ended December 31, 2007;      Exhibit (10)(iii)41) |
|--------|-------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | (iii) | 19--               Form      of CH Energy Group, Inc. Performance Shares      Agreement.  (Incorporated herein by reference to CH Energy      Group’s Current Report on Form 8-K filed on January 30, 2008; Exhibit      10.1) |
|--|-------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (iii) | 20--          Form      of CH Energy Group, Inc. Performance Shares      Agreement.  (Incorporated herein by reference to CH Energy      Group’s Current Report on Form 8-K filed on January 26, 2009; Exhibit      10.1) |
|--------|-------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (iii) | 21--          Form      of CH Energy Group, Inc. Restricted Shares Agreement (for employees of      Griffith Energy Services, Inc.) (Incorporated herein by reference to CH      Energy Group’s Quarterly Report on 10-Q for the fiscal quarter ended March      31, 2008; Exhibit (10)(iii)3) |
|--------|-------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (iii) | 22--          Form      of CH Energy Group, Inc. Restricted Shares Agreement (for officers of      Central Hudson Enterprises Corporation) (Incorporated herein by reference      to CH Energy Group’s Quarterly Report on Form 10-Q for the fiscal quarter      ended March 31, 2008; Exhibit(10)(iii)4) |
|--------|-------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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|   | (iii) | 23--          Form      of CH Energy Group, Inc. Restricted Stock Unit Agreement (Long-Term Equity      Incentive Plan) (Incorporated herein by reference to CH Energy Group’s      Current Report on Form 8-K filed on November 17, 2009; Exhibit      10.1) |
|--------|-------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (iii) | 24--          Amended      and Restated Employment Agreement between CH Energy Group, Inc. and the      Chief Executive Officer effective as of January 1,      2008.  (Incorporated herein by reference to Energy Group’s      Annual Report on Form 10-K for the year ended December 31, 2007; Exhibit      (10)(iii)32) |
|--------|-------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (iii) | 25--          Amended      and Restated Employment Agreement between CH Energy Group, Inc. and the      three most senior executives (after Chief Executive Officer) effective as      of January 1, 2008.  (Incorporated herein by reference to Energy      Group’s Annual Report on Form 10-K for the year ended December 31, 2007;      Exhibit (10)(iii)33) |
|--------|-------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (iii) | 26--          Amended      and Restated Employment Agreement between CH Energy Group, Inc. and the      other executive officers effective as of January 1,      2008.  (Incorporated herein by reference to Energy Group’s      Annual Report on Form 10-K for the year ended December 31, 2007; Exhibit      (10)(iii)34) |
|--------|-------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (iii) | 27--          Amended      and Restated Employment Agreement between CH Energy Group, Inc. and      Griffith Energy Services, Inc. executive effective as of January 1,      2008.  (Incorporated herein by reference to CH Energy Group’s      Annual Report on Form 10-K for the year ended December 31, 2007; Exhibit      (10)(iii)42) |
|--------|-------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (iii) | 28--          Employment      Agreement between CH Energy Group, Inc. and James P. Laurito, dated as of      November 16, 2009. (Incorporated herein by reference to CH Energy Group’s      Annual Report on Form 10-K for the year ended December 31, 2009, Exhibit      (10)(iii)28) |
|--------|-------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (iii) | 29--          Form      of Amendment to Employment Agreement with executive officers, effective      December 31, 2008.  (Incorporated herein by reference to CH      Energy Group’s Annual Report on Form 10-K for the year ended December 31,      2008; Exhibit (10)(iii)28) |
|--------|-------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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|   | (iii) | 30--          Employment      Agreement, dated October 1, 2009, between CH Energy Group, Inc. and John      E. Gould.  (Incorporated herein by reference to CH Energy      Group’s Quarterly Report on Form 10-Q for the fiscal quarter ended      September 30, 2009; Exhibit(10)(iii)1) |
|--------|-------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (iii) | 31--          Amended      and Restated CH Energy Group, Inc. Short-Term Incentive      Plan.  (Incorporated herein by reference to CH Energy Group’s      Current Report on Form 8-K filed on May 27, 2009; Exhibit      10.1) |
|--------|-------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (iii) | 32--          Form      of CH Energy Group, Inc. Indemnification Agreement (for officers of CH      Energy Group, Inc.) (Incorporated herein by reference to CH Energy Group’s      Quarterly Report on Form 10-Q for the fiscal quarter ended March 31, 2009;      Exhibit (10)(iii)1) |
|--------|-------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (iii) | 33--          Form      of Central Hudson Gas & Electric Corporation Indemnification Agreement      (for officers of Central Hudson Gas & Electric Corporation)      (Incorporated herein by reference to CH Energy Group’s Quarterly Report on      Form 10-Q for the fiscal quarter ended March 31, 2009; Exhibit      (10)(iii)2) |
|--------|-------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (iii) | 34--          Form      of Central Hudson Enterprises Corporation Indemnification Agreement (for      officers of Central Hudson Enterprises Corporation) (Incorporated herein      by reference to CH Energy Group’s Quarterly Report on Form 10-Q for the      fiscal quarter ended March 31, 2009; Exhibit  (10)(iii)3) |
|--------|-------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (iii) | 35--          Agreement,      dated as of April 27, 2009, by and between CH Energy Group, Inc. and GAMCO      Asset Management Inc. (Incorporated herein by reference to CH Energy      Group’s Current Report on Form 8-K, filed April 29, 2009; Exhibit      10.1) |
|--------|-------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (12) | (i)--          CH      Energy Group Statement showing the computation of the ratio of earnings to      fixed charges. |
|------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

(ii)--

| (21)-- | Subsidiaries      of Energy Group and Central Hudson as of December 31,  2008. |
|--------|--------------------------------------------------------------------------------|

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| (23)-- | Consents      of Independent Registered Public Accounting  Firm. |
|--------|------------------------------------------------------------------|

1--

2--

| (24)-- | Powers      of Attorney: |
|--------|--------------------------|

|   | (i) | 1--                 Powers of Attorney for each of      the directors comprising a majority of the Board of Directors of Energy      Group authorizing execution and filing of this Annual Report on Form 10-K      by Steven V. Lant. |
|--------|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (i) | 2--                 Powers of Attorney for each of the directors      comprising a majority of the Board of Directors of Central Hudson      authorizing execution and filing of this Annual Report on Form 10-K by      Steven V. Lant. |
|--------|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (31)-- | Rule      13a-14(a)/15d-14(a) Certifications. |
|--------|-----------------------------------------------|

| (32)-- | Section      1350 Certifications. |
|--------|-----------------------------------|

| (99)-- | Additional      Exhibits: |
|--------|---------------------------|

|   | (i) | 1--                 Order on Consent signed on behalf of      the New York State Department of Environmental Conservation and Central      Hudson relating to Central Hudson's former manufactured gas site located      in Newburgh, New York.  (Incorporated herein by reference to      Central Hudson's Quarterly Report on Form 10-Q for the fiscal quarter      ended September 30, 1995; Exhibit(99)(i)5) |
|--------|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (i) | 2--                 Summary of principal terms of the Amended      and Restated Settlement Agreement, dated January 2, 1998, among Central      Hudson, the Staff of the Public Service Commission of the State of New      York and the New York State Department of Economic      Development.  (Incorporated herein by reference to Central      Hudson's Current Report on Form 8-K, dated January 7, 1998; Exhibit      (99)2) |
|--------|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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|   | (i) | 3--                 Order of the Public Service Commission of      the State of New York, issued and effective February 19, 1998, adopting      the terms of Central Hudson's Amended Settlement Agreement, subject to      certain modifications and conditions.  (Incorporated herein by      reference to Central Hudson's Current Report on Form 8-K, dated February      10, 1998; Exhibit (10)1) |
|--------|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (i) | 4--                 Order of the Public Service Commission of the      State of New York, issued and effective June 30, 1998, explaining in      greater detail and reaffirming its Abbreviated Order, issued and effective      February 19, 1998, which February 19, 1998 Order modified, and as      modified, approved the Amended and Restated Settlement Agreement, dated      January 2, 1998, entered into among Central Hudson, the PSC Staff and      others as part of the PSC's "Competitive Opportunities" proceeding (ii)      the Order, dated June 24, 1998, of the Federal Energy Regulatory      Commission conditionally authorizing the establishment of an Independent      System Operator by the member systems of the New York Power Pool and (iii)      disclosing, effective August 1, 1998, Paul J. Ganci's appointment by      Central Hudson's Board of Directors as President and Chief Executive      Officer and John E. Mack III's formerly Chairman of the Board and Chief      Executive Officer) continuation as Chairman of the      Board.  (Incorporated herein by reference to Central Hudson's      Current Report on Form 8-K, dated July 24, 1998; Exhibit      (10)1) |
|--------|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (i) | 5--                 Order of the Public Service Commission of      the State of New York, issued and effective October 3, 2002, authorizing      the implementation of the Economic Development      Program.  (Incorporated herein by reference to Energy Group's      Annual Report on Form 10-K, for the fiscal year ended December 31, 2002;      Exhibit (99)(i)10) |
|--------|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (i) | 6--                 Order of the Public Service Commission of the      State of New York, issued and effective October 25, 2002, authorizing the      establishment of a deferred accounting plan for site identification and      remediation costs relating to Central Hudson's seven former manufactured      gas plants.  (Incorporated herein by reference to Energy Group's      Annual Report on Form 10-K, for the fiscal year ended December 31, 2002;      Exhibit (99)(i)11) |
|--------|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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