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                                                                    Exhibit 99.1

Press Release                                                Source: Dynegy Inc.
Dynegy Names Nick J. Caruso Executive Vice President and
Chief Financial Officer


Company also announces organizational changes in finance and accounting areas

HOUSTON--(BUSINESS WIRE)--Dec. 2, 2002--Dynegy Inc. (NYSE:DYN - News) today
announced that Nick J. Caruso has been named executive vice president and chief
financial officer effective immediately. In this capacity, Caruso will be
responsible for Dynegy's financial affairs, including treasury, tax, investor
relations, risk management, internal audit, and lender and credit rating agency
relationships. He will report to Bruce A. Williamson, president and chief
executive officer.

Caruso, 56, spent more than 30 years with Shell Oil Company in positions of
increasing responsibility until his retirement last year. He last served as vice
president of finance and chief financial officer and was responsible for the
controller's organization and the company's treasury, insurance and audit
functions. In addition, he worked directly with Shell's board of directors to
develop and implement internal controls, review financial results and prepare
financial statements. Prior to being named CFO, Caruso served as Shell's
controller and general auditor. In this position, he was responsible for
internal control systems, accounting policies and procedures and the audit
program.

"During my 14 years working with Nick at Shell Oil Company and throughout his
career, he has demonstrated a proven ability to manage comprehensive financial
management programs and procedures while meeting the highest standards of
corporate governance and compliance," said Williamson. "Nick's previous
experience as a corporate CFO and strong knowledge in all facets of finance will
be invaluable to our company as we continue to emphasize transparency and
accuracy in our financial reporting, comply with the new regulatory and
disclosure requirements and work closely with all of our stakeholders to create
the new Dynegy."

Caruso earned a bachelor's degree in accounting from Louisiana State University
in New Orleans. While with Shell, he was a senior staff member of the company's
diversity counsel and Hispanic business network. Caruso has served as an
instructor for Junior Achievement, a nonprofit economic education organization
that teaches youth about free enterprise, business and the workforce, and on the
Board of the Sam Houston Area Council of the Boy Scouts.

The company's finance and accounting organization will consist of the following
individuals reporting to Caruso:

     .    Robert Ray has been promoted to senior vice president and treasurer.
          In this role, Ray will focus on all the company's financings,
          including banks, bondholders and project debt, and on its
          relationships with lenders and credit rating agencies;

     .    Katie Pipkin has been promoted to senior director, investor relations.
          Pipkin will act as the liaison between management and the investment
          community, including portfolio managers and research analysts;

     .    Mike Mott, senior vice president and controller, will continue to be
          responsible for the development and application of the company's
          accounting policies and procedures, coordination of the organization's
          financial and operational accounting functions, transaction support
          and internal and external financial reporting;

     .    Glenn Labhart, vice president and chief risk officer, will continue to
          be responsible for corporate risk oversight, including credit risk and
          insurance risk management; and

     .    Gene Foster, vice president, tax, will continue to be responsible for
          all tax matters relating to the company and its subsidiaries.

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Blake Young, executive vice president, administration and technology, will add
strategic planning, budgeting and analysis and the disposition of non-strategic
lines of business to his areas of responsibility. These functions were
previously part of the company's corporate development department. Young is
currently responsible for corporate communications, human resources, technology
and corporate business services. He will continue to report to Williamson.

Dynegy also announced that Hugh Tarpley, executive vice president, corporate
development, and Margaret Nollen, senior vice president, investor relations,
have resigned from the company to pursue other interests. Louis Dorey, executive
vice president, finance, will assume a transitional role with the company
through the remainder of the year.

Dynegy Inc. owns operating divisions engaged in power generation, natural gas
liquids, regulated energy delivery and communications. Through these business
units, the company serves customers by delivering value-added solutions to meet
their energy and communications needs. The company's website is www.dynegy.com.