SECURITIES AND EXCHANGE COMMISSION
                             WASHINGTON, D.C. 20549

                                    FORM 10-Q/A
                               AMENDMENT NO. 1 TO

[X]    QUARTERLY  REPORT  PURSUANT  TO  SECTION  13 OR 15 (d) OF THE  SECURITIES
       EXCHANGE ACT OF 1934
       For the quarterly period ended June 30, 1999

                                       or

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

Commission        Name of Registrant, State of Incorporation,                             IRS Employer
File Number       Address of Principal Executive Offices and Telephone Number    Identification Number
-----------       -----------------------------------------------------------    ---------------------
<S>               <C>                                                                       <C>
1-9894            ALLIANT ENERGY CORPORATION                                                39-1380265
                  (a Wisconsin corporation)
                  222 West Washington Avenue
                  Madison, Wisconsin  53703
                  Telephone (608)252-3311

0-4117-1          IES UTILITIES INC.                                                        42-0331370
                  (an Iowa corporation)
                  Alliant Energy Tower
                  Cedar Rapids, Iowa  52401
                  Telephone (319)398-4411

0-337             WISCONSIN POWER AND LIGHT COMPANY                                         39-0714890
                  (a Wisconsin corporation)
                  222 West Washington Avenue
                  Madison, Wisconsin  53703
                  Telephone (608)252-3311

                  Interstate Energy Corporation
                 (Former name of Alliant Energy Corporation)
</TABLE>

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

This combined Form 10-Q/A is separately filed by Alliant Energy Corporation, IES
Utilities  Inc. and Wisconsin  Power and Light  Company.  Information  contained
herein relating to any individual  registrant is filed by such registrant on its
own behalf.  Each registrant makes no representation as to information  relating
to the other registrants.

Number of shares outstanding of each class of common stock as of July 31, 1999:


Alliant Energy Corporation          Common  stock,  $.01 par  value,  78,457,664
                                    shares outstanding

IES Utilities Inc.                  Common  stock,  $2.50 par value,  13,370,788
                                    shares  outstanding  (all of which are owned
                                    beneficially and of record by Alliant Energy
                                    Corporation)

Wisconsin Power and Light Company   Common  stock,  $5  par  value,   13,236,601
                                    shares  outstanding  (all of which are owned
                                    beneficially and of record by Alliant Energy
                                    Corporation)

<PAGE>

The  undersigned  registrants  hereby amend Item 1 of their  combined  Quarterly
Report on Form 10-Q for the six  months  ended  June 30,  1999 to provide in its
entirety as follows:


                                       2
<PAGE>

                                   DEFINITIONS

Certain  abbreviations  or acronyms  used in the text and notes of this combined
Form 10-Q/A are defined below:

Abbreviation or Acronym        Definition
-----------------------        ----------
Alliant Energy                 Alliant Energy Corporation
Corporate Services             Alliant Energy Corporate Services, Inc.
IESU                           IES Utilities Inc.
IPC                            Interstate Power Company
McLeod                         McLeodUSA Incorporated
Resources                      Alliant Energy Resources, Inc.
SEC                            Securities and Exchange Commission
WP&L                           Wisconsin Power and Light Company


                                       3
<PAGE>

                         PART I. FINANCIAL INFORMATION

               ITEM 1. CONSOLIDATED FINANCIAL STATEMENTS

<TABLE>
                           ALLIANT ENERGY CORPORATION
                  CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED)
<CAPTION>

                                                                   For the Three Months                 For the Six Months
                                                                      Ended June 30,                      Ended June 30,
                                                                  1999             1998               1999              1998
--------------------------------------------------------------------------------------------------------------------------------
                                                                             (in thousands, except per share amounts)
<S>                                                            <C>               <C>                <C>               <C>
Operating revenues:
  Electric utility                                             $ 366,152         $ 380,414          $ 717,490         $ 738,165
  Gas utility                                                     46,200            45,267            179,885           175,313
  Nonregulated and other                                          73,762            65,331            135,594           133,817
                                                           --------------    --------------     --------------    --------------
                                                                 486,114           491,012          1,032,969         1,047,295
                                                           --------------    --------------     --------------    --------------
--------------------------------------------------------------------------------------------------------------------------------

Operating expenses:
  Electric and steam production fuels                             53,360            69,538            118,763           139,094
  Purchased power                                                 72,440            73,417            124,505           129,563
  Cost of utility gas sold                                        22,666            23,907            104,009           101,186
  Other operation                                                148,291           158,679            278,657           316,033
  Maintenance                                                     31,934            33,389             55,746            58,647
  Depreciation and amortization                                   70,475            72,857            144,115           142,690
  Taxes other than income taxes                                   26,690            26,598             53,929            53,575
                                                           --------------    --------------     --------------    --------------
                                                                 425,856           458,385            879,724           940,788
                                                           --------------    --------------     --------------    --------------
--------------------------------------------------------------------------------------------------------------------------------

Operating income                                                  60,258            32,627            153,245           106,507
                                                           --------------    --------------     --------------    --------------
--------------------------------------------------------------------------------------------------------------------------------

Interest expense and other:
  Interest expense                                                34,715            32,231             68,114            63,155
  Allowance for funds used during construction                    (1,782)           (1,638)            (3,716)           (3,141)
  Preferred dividend requirements of subsidiaries                  1,677             1,675              3,353             3,349
  Miscellaneous, net                                             (37,065)           11,035            (43,834)            7,159
                                                           --------------    --------------     --------------    --------------
                                                                  (2,455)           43,303             23,917            70,522
                                                           --------------    --------------     --------------    --------------

--------------------------------------------------------------------------------------------------------------------------------

Income (loss) before income taxes                                 62,713           (10,676)           129,328            35,985
                                                           --------------    --------------     --------------    --------------

--------------------------------------------------------------------------------------------------------------------------------

Income taxes                                                      24,167            (1,578)            49,039            16,208
                                                           --------------    --------------     --------------    --------------

--------------------------------------------------------------------------------------------------------------------------------

 Net income (loss)                                             $  38,546         $  (9,098)         $  80,289         $  19,777
                                                           ==============    ==============     ==============    ==============
--------------------------------------------------------------------------------------------------------------------------------
Average number of common shares outstanding                       78,214            76,800             77,997            76,689
                                                           ==============    ==============     ==============    ==============
--------------------------------------------------------------------------------------------------------------------------------
Earnings per average common share (basic and diluted)          $    0.49         $   (0.12)         $    1.03         $    0.26
                                                           ==============    ==============     ==============    ==============
--------------------------------------------------------------------------------------------------------------------------------

The accompanying Notes to Consolidated Financial Statements are an integral part
of these statements.

</TABLE>


                                        4
<PAGE>

<TABLE>
                           ALLIANT ENERGY CORPORATION
                           CONSOLIDATED BALANCE SHEETS
<CAPTION>
                                                                              June 30,
                                                                                1999           December 31,
ASSETS                                                                       (Unaudited)           1998
--------------------------------------------------------------------------------------------------------------
                                                                                     (in thousands)
<S>                                                                            <C>                <C>
Property, plant and equipment:
  Utility -
    Plant in service -
      Electric                                                                 $ 4,923,657        $ 4,866,152
      Gas                                                                          522,436            515,074
      Other                                                                        432,694            409,711
                                                                           ----------------   ----------------
                                                                                 5,878,787          5,790,937
    Less - Accumulated depreciation                                              2,985,592          2,852,605
                                                                           ----------------   ----------------
                                                                                 2,893,195          2,938,332
    Construction work in progress                                                  128,757            119,032
    Nuclear fuel, net of amortization                                               54,762             44,316
                                                                           ----------------   ----------------
                                                                                 3,076,714          3,101,680
  Other property, plant and equipment, net of accumulated
    depreciation and amortization of $191,728 and $178,248, respectively           357,856            355,100
                                                                           ----------------   ----------------
                                                                                 3,434,570          3,456,780
                                                                           ----------------   ----------------
--------------------------------------------------------------------------------------------------------------

Current assets:
  Cash and temporary cash investments                                               29,403             31,827
  Accounts receivable:
    Customer, less allowance for doubtful accounts
      of $2,201 and $2,518, respectively                                            84,415            102,966
    Other, less allowance for doubtful accounts
      of $807 and $490, respectively                                                25,734             26,054
  Notes receivable, less allowance for doubtful
    accounts of $114 and $120, respectively                                          5,579             13,392
  Income tax refunds receivable                                                     18,399             14,826
  Production fuel, at average cost                                                  42,323             54,140
  Materials and supplies, at average cost                                           55,081             53,490
  Gas stored underground, at average cost                                           12,518             26,013
  Regulatory assets                                                                 25,139             30,796
  Prepaid gross receipts tax                                                        21,912             22,222
  Other                                                                             17,663             15,941
                                                                           ----------------   ----------------
                                                                                   338,166            391,667
                                                                           ----------------   ----------------
--------------------------------------------------------------------------------------------------------------

Investments:
  Investment in McLeodUSA Inc.                                                     527,800            320,280
  Nuclear decommissioning trust funds                                              251,475            225,803
  Investment in foreign entities                                                   133,745             68,882
  Other                                                                             52,977             54,776
                                                                           ----------------   ----------------
                                                                                   965,997            669,741
                                                                           ----------------   ----------------
--------------------------------------------------------------------------------------------------------------

Other assets:
  Regulatory assets                                                                272,086            284,467
  Deferred charges and other                                                       166,317            156,682
                                                                           ----------------   ----------------
                                                                                   438,403            441,149
                                                                           ----------------   ----------------
--------------------------------------------------------------------------------------------------------------

Total assets                                                                   $ 5,177,136        $ 4,959,337
                                                                           ================   ================

--------------------------------------------------------------------------------------------------------------

The accompanying Notes to Consolidated Financial Statements are an integral part
of these statements.
</TABLE>


                                       5
<PAGE>

<TABLE>
                           ALLIANT ENERGY CORPORATION
                     CONSOLIDATED BALANCE SHEETS (CONTINUED)
<CAPTION>
                                                                                      June 30,
                                                                                        1999             December 31,
CAPITALIZATION AND LIABILITIES                                                      (Unaudited)              1998
------------------------------------------------------------------------------------------------------------------------
                                                                                  (in thousands, except share amounts)
<S>                                                                                    <C>                  <C>
Capitalization:
  Common stock - $.01 par value - authorized 200,000,000 shares;
    outstanding 78,424,441 and 77,630,043 shares, respectively                         $       784          $       776
  Additional paid-in capital                                                               926,242              905,130
  Retained earnings                                                                        539,769              537,372
  Accumulated other comprehensive income                                                   300,613              163,017
                                                                                  -----------------    -----------------
    Total common equity                                                                  1,767,408            1,606,295
                                                                                  -----------------    -----------------

  Cumulative preferred stock of subsidiaries:
   Par/Stated       Authorized        Shares                         Mandatory
      Value           Shares        Outstanding       Series        Redemption
      $ 100              *            449,765      4.40% - 6.20%        No                  44,977               44,977
      $ 25               *            599,460          6.50%            No                  14,986               14,986
      $ 50            466,406         366,406      4.30% - 6.10%        No                  18,320               18,320
      $ 50              **            216,381      4.36% - 7.76%        No                  10,819               10,819
      $ 50              **            545,000          6.40%           Yes ***              27,250               27,250
                                                                                  -----------------    -----------------
                                                                                           116,352              116,352
    Less:  unamortized expenses                                                             (2,784)              (2,854)
                                                                                  -----------------    -----------------
      Total cumulative preferred stock of subsidiaries                                     113,568              113,498
                                                                                  -----------------    -----------------
  Long-term debt (excluding current portion)                                             1,514,498            1,543,131
                                                                                  -----------------    -----------------
                                                                                         3,395,474            3,262,924
                                                                                  -----------------    -----------------
*    3,750,000 authorized  shares in total  between  the two classes
**   2,000,000 authorized  shares  in  total  between  the two classes
***  $53.20 mandatory redemption price
------------------------------------------------------------------------------------------------------------------------

Current liabilities:
  Current maturities and sinking funds                                                      53,740               63,414
  Variable rate demand bonds                                                                56,975               56,975
  Commercial paper                                                                         125,500               64,500
  Notes payable                                                                             50,024               51,784
  Capital lease obligations                                                                 12,277               11,978
  Accounts payable                                                                         145,888              204,297
  Accrued taxes                                                                             84,622               84,921
  Other                                                                                    107,544              111,685
                                                                                  -----------------    -----------------
                                                                                           636,570              649,554
                                                                                  -----------------    -----------------
------------------------------------------------------------------------------------------------------------------------

Other long-term liabilities and deferred credits:
  Accumulated deferred income taxes                                                        774,492              691,624
  Accumulated deferred investment tax credits                                               74,585               77,313
  Environmental liabilities                                                                 68,917               68,399
  Customer advances                                                                         35,416               37,171
  Capital lease obligations                                                                 25,611               13,755
  Other                                                                                    166,071              158,597
                                                                                  -----------------    -----------------
                                                                                         1,145,092            1,046,859
                                                                                  -----------------    -----------------

------------------------------------------------------------------------------------------------------------------------

Total capitalization and liabilities                                                   $ 5,177,136          $ 4,959,337
                                                                                  =================    =================

------------------------------------------------------------------------------------------------------------------------

The accompanying Notes to Consolidated Financial Statements are an integral part
of these statements.
</TABLE>


                                       6
<PAGE>
<TABLE>
                           ALLIANT ENERGY CORPORATION
                CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED)
<CAPTION>
                                                              For the Six Months Ended June 30,
                                                                   1999               1998
-------------------------------------------------------------------------------------------------
                                                                       (in thousands)
<S>                                                           <C>                 <C>
Cash flows from operating activities:
  Net income                                                  $        80,289     $        19,777
  Adjustments to reconcile net income to net cash flows
    from  operating
    activities:
    Depreciation and amortization                                     144,115            142,690
    Amortization of nuclear fuel                                        9,142              8,555
    Amortization of deferred energy efficiency expenditures            13,250             14,443
    Deferred taxes and investment tax credits                          (8,487)           (13,075)
    Refueling outage provision                                          4,412             (9,341)
    Impairment of oil and gas properties                                    -              6,746
    (Gain) loss on disposition of assets, net                         (37,591)            (1,020)
    Other                                                               1,502              4,998
  Other changes in assets and liabilities:
    Accounts receivable                                                18,871             25,338
    Notes receivable                                                    7,813              6,396
    Production fuel                                                    11,817                242
    Gas stored underground                                             13,495             22,232
    Accounts payable                                                  (58,409)           (35,181)
    Accrued taxes                                                        (299)            (6,049)
    Adjustment clause balances                                         (9,240)             5,791
    Benefit obligations and other                                      13,094             28,786
                                                             -----------------   ----------------
       Net cash flows from operating activities                       203,774            221,328
                                                             -----------------   ----------------
-------------------------------------------------------------------------------------------------
Cash flows used for financing activities:
    Common stock dividends declared                                   (77,892)           (63,649)
    Dividends payable                                                     287            (15,806)
    Proceeds from issuance of common stock                             20,888             10,634
    Net change in Alliant Energy Resources, Inc.
      credit facility                                                  15,495             71,587
    Proceeds from issuance of other long-term debt                     12,144              2,516
    Reductions in other long-term debt                                (67,016)            (1,262)
    Net change in short-term borrowings                                59,240            (42,525)
    Principal payments under capital lease obligations                 (6,869)            (8,116)
    Other                                                                  (2)               (36)
                                                             -----------------   ----------------
        Net cash flows used for financing activities                  (43,725)           (46,657)
                                                             -----------------   ----------------
-------------------------------------------------------------------------------------------------
Cashflows used for investing activities:
    Construction and acquisition expenditures:
       Utility                                                       (105,054)           (93,508)
       Nonregulated businesses                                        (78,654)           (63,928)
    Nuclear decommissioning trust funds                               (17,658)           (15,863)
    Proceeds from disposition of assets                                47,209              3,997
    Shared savings expenditures                                       (10,594)            (3,117)
    Other                                                               2,278              2,138
                                                             -----------------   ----------------
       Net cash flows used for investing activities                  (162,473)          (170,281)
                                                             -----------------   ----------------
-------------------------------------------------------------------------------------------------
Net increase (decrease) in cash and temporary cash
    investments                                                        (2,424)             4,390
                                                             -----------------   ----------------
-------------------------------------------------------------------------------------------------
Cash and temporary cash investments at beginning of period             31,827             27,329
                                                             -----------------   ----------------
-------------------------------------------------------------------------------------------------
Cash and temporary cash investments at end of period          $        29,403     $       31,719
                                                             =================   ================
-------------------------------------------------------------------------------------------------
Supplemental cash flow information: Cash paid during
  the period for:
       Interest                                               $        68,166     $       62,132
                                                             =================   ================
       Income taxes                                           $        56,130     $       45,435
                                                             =================   ================
    Noncash investing and financing activities:
       Capital lease obligations incurred                     $        18,252     $        1,271
                                                             =================   ================
-------------------------------------------------------------------------------------------------
The accompanying Notes to Consolidated Financial Statements are an integral part
of these statements.
</TABLE>
                                       7
<PAGE>

                           ALLIANT ENERGY CORPORATION

             NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)

1.     At the  Annual  Shareowners  meeting  on May 19,  1999,  the  shareowners
       approved a proposal to change the name of the corporation from Interstate
       Energy  Corporation  to Alliant Energy  Corporation.  The name change was
       effective May 20, 1999.

       The interim  consolidated  financial statements included herein have been
       prepared  by Alliant  Energy,  without  audit,  pursuant to the rules and
       regulations of the SEC.  Accordingly,  certain  information  and footnote
       disclosures   normally  included  in  financial  statements  prepared  in
       accordance  with  generally  accepted  accounting  principles  have  been
       condensed or omitted,  although  management believes that the disclosures
       are  adequate  to make the  information  presented  not  misleading.  The
       consolidated   financial   statements  include  Alliant  Energy  and  its
       consolidated  subsidiaries  (WP&L,  IESU,  IPC,  Resources  and Corporate
       Services).  These financial statements should be read in conjunction with
       the  financial  statements  and the notes  thereto  included  in  Alliant
       Energy's, IESU's and WP&L's latest Annual Report on Form 10-K.

       In the  opinion  of  management,  all  adjustments,  which are normal and
       recurring  in  nature,  necessary  for a fair  presentation  of  (a)  the
       consolidated  results of  operations  for the three and six months  ended
       June 30, 1999 and 1998, (b) the consolidated  financial  position at June
       30, 1999 and  December 31, 1998,  and (c) the  consolidated  statement of
       cash flows for the six months  ended  June 30,  1999 and 1998,  have been
       made.  Because  of the  seasonal  nature  of  IESU's,  WP&L's  and  IPC's
       operations,  results for the three and six months ended June 30, 1999 are
       not  necessarily  indicative of results that may be expected for the year
       ending  December  31,  1999.  Certain  prior  period  amounts  have  been
       reclassified on a basis consistent with the 1999 presentation.

2.     Alliant Energy's comprehensive income (loss), and the components of other
       comprehensive   income  (loss),   net  of  taxes,  were  as  follows  (in
       thousands):
<TABLE>
<CAPTION>

                                                                  For the Three Months           For the Six Months
                                                                     Ended June 30,                Ended June 30,
                                                                  1999           1998            1999           1998
                                                               ------------    ----------    ------------    ----------
<S>                                                              <C>            <C>             <C>             <C>
   Net income (loss)                                             $ 38,546       ($ 9,098)       $ 80,289        $19,777
     Other comprehensive income (loss):
       Unrealized gains (losses) on securities:
         Unrealized holding gains (losses) arising during
           period, net of tax (1)                                  84,742        (20,358)        159,773         41,471
          Less:  reclassification adjustment for gains
            included in net income, net of tax (2)                (21,324)            --         (21,324)            --

                                                               ------------    ----------    ------------    ----------
              Net unrealized gains (losses)                        63,418        (20,358)        138,449         41,471
                                                               ------------    ----------    ------------    ----------
        Foreign currency translation adjustments                     (239)             1            (853)            56
                                                               ------------    ----------    ------------    ----------
          Other comprehensive income (loss)                        63,179        (20,357)        137,596         41,527
                                                               ============    ==========    ============    ==========
   Comprehensive income (loss)                                   $101,725       ($29,455)       $217,885        $61,304
                                                               ============    ==========    ============    ==========

(1)    Primarily due to quarterly  adjustments  to the  estimated  fair value of
       Alliant Energy's investment in McLeod.

                                       8
<PAGE>
(2)    The second quarter 1999 earnings included a pre-tax gain of $33.8 million
       ($0.27 per share) from the sale of approximately 640,000 shares of McLeod
       stock held by Alliant Energy.  Following completion of the May 1999 sale,
       Alliant  Energy  still held  beneficial  ownership in  approximately  9.6
       million  shares of McLeod  stock.  McLeod  declared a 2-for-1 stock split
       effective July 1999.
</TABLE>

  IESU and WP&L had no comprehensive income in the periods presented.

3.     Certain financial  information  relating to Alliant Energy's  significant
       business segments is presented below:
<TABLE>
<CAPTION>
                                                                                                               Alliant
                                  -------------------------------------------
                                         Regulated Domestic Utilities             Nonregulated                 Energy
                                  -------------------------------------------
                                   Electric     Gas        Other      Total        Businesses       Other   Consolidated
                                  ----------------------------------------------------------------------------------------
                                                                       (in thousands)
<S>                                 <C>         <C>        <C>        <C>               <C>       <C>          <C>
      Three Months Ended
      June 30, 1999
      Operating revenues            $366,152    $46,200    $7,820     $420,172          $66,595      ($653)      $486,114
      Operating income (loss)         56,155     (2,018)    1,529       55,666            4,101        491         60,258
      Net income (loss)                                                 17,138           21,560       (152)        38,546

      Three Months Ended
      June 30, 1998
      Operating revenues            $380,414    $45,267    $7,424     $433,105          $58,305      ($398)      $491,012
      Operating income (loss)         38,826     (7,404)    1,327       32,749              689       (811)        32,627
      Net loss                                                          (3,024)          (2,925)    (3,149)        (9,098)

      Six Months Ended
      June 30, 1999
      Operating revenues            $717,490   $179,885   $17,024     $914,399         $119,794    ($1,224)    $1,032,969
      Operating income               124,770     21,921     3,883      150,574            2,265        406        153,245
      Net income (loss)                                                 61,905           19,654     (1,270)        80,289

      Six Months Ended
      June 30, 1998
      Operating revenues            $738,165   $175,313   $15,833     $929,311         $118,627      ($643)    $1,047,295
      Operating income (loss)         94,664     14,971     3,158      112,793           (4,810)    (1,476)       106,507
      Net income (loss)                                                 30,153           (6,925)    (3,451)        19,777
</TABLE>

       Resources'  (i.e.,  the  nonregulated  businesses)  assets increased $263
       million  during  the  first  six  months  of 1999,  primarily  due to the
       increase  in market  value of its  investment  in McLeod  and  additional
       investments in foreign entities.  Intersegment revenues were not material
       to Alliant  Energy's  operations  and there was no single  customer whose
       revenues exceeded 10% or more of Alliant Energy's consolidated revenues.

4.     The  provisions  for  income  taxes  are  based on the  estimated  annual
       effective tax rate, which differs from the federal  statutory rate of 35%
       principally due to: state income taxes,  tax credits,  effects of utility
       rate making and certain nondeductible expenses.

5.     At June 30, 1999,  Alliant  Energy had $133.7  million of  investments in
       foreign  entities  on its  Consolidated  Balance  Sheets  that  primarily
       included   investments  in  several  New  Zealand  utility  entities  and
       investments  in several  generation  facilities in China.  Alliant Energy
       accounts for the China  investments under the equity method and the other
       investments  under  the cost  method.  The  geographic  concentration  of
       Alliant  Energy's  investments  in  foreign  entities  at June 30,  1999,
       included investments of approximately $96.2 million in New Zealand, $37.0
       million in China and $0.5 million in other countries.

6.     Summary   financial   information   for  Resources  was  as  follows  (in
       thousands):
                                             June 30,
                                               1999
                                          --------------
       Current assets                        $79,479
       Non-current assets                  1,052,828
       Current liabilities                    55,860
       Non-current liabilities
         (excludes minority interest)        250,265
       Minority interest                       7,128

       Refer  to the  "Nonregulated  Businesses"  column  of Note 3 for  summary
       income statement data of Resources.

                                       9
<PAGE>

<TABLE>
<CAPTION>
                               IES UTILITIES INC.
                  CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED)

                                                             For the Three Months                    For the Six Months
                                                                Ended June 30,                         Ended June 30,
                                                            1999              1998                1999               1998
-----------------------------------------------------------------------------------------------------------------------------
                                                                                 (in thousands)
<S>                                                      <C>                <C>                 <C>                <C>
Operating revenues:
  Electric utility                                       $ 142,209          $ 147,640           $ 282,226          $ 288,290
  Gas utility                                               22,012             20,921              83,308             81,316
  Steam and other                                            6,572              6,172              14,524             13,405
                                                    ---------------    ---------------     ---------------    ---------------
                                                           170,793            174,733             380,058            383,011
                                                    ---------------    ---------------     ---------------    ---------------
-----------------------------------------------------------------------------------------------------------------------------

Operating expenses:
  Electric and steam production fuels                       12,285             21,284              38,873             51,933
  Purchased power                                           27,142             25,768              40,292             36,817
  Cost of gas sold                                          11,623             10,782              49,535             48,439
  Other operation                                           45,167             44,869              92,607             91,871
  Maintenance                                               12,572             13,960              22,477             24,951
  Depreciation and amortization                             25,481             23,907              50,963             48,242
  Taxes other than income taxes                             12,468             12,407              25,083             24,713
                                                    ---------------    ---------------     ---------------    ---------------
                                                           146,738            152,977             319,830            326,966
                                                    ---------------    ---------------     ---------------    ---------------
-----------------------------------------------------------------------------------------------------------------------------

Operating income                                            24,055             21,756              60,228             56,045
                                                    ---------------    ---------------     ---------------    ---------------
-----------------------------------------------------------------------------------------------------------------------------

Interest expense and other:
  Interest expense                                          14,434             12,955              27,638             26,030
  Allowance for funds used during construction                (535)              (801)             (1,384)            (1,566)
  Miscellaneous, net                                        (2,499)             4,167              (3,355)             4,446
                                                    ---------------    ---------------     ---------------    ---------------
                                                            11,400             16,321              22,899             28,910
                                                    ---------------    ---------------     ---------------    ---------------
-----------------------------------------------------------------------------------------------------------------------------

Income before income taxes                                  12,655              5,435              37,329             27,135
                                                    ---------------    ---------------     ---------------    ---------------
-----------------------------------------------------------------------------------------------------------------------------

Income taxes                                                 5,611              2,474              15,828             12,515
                                                    ---------------    ---------------     ---------------    ---------------
-----------------------------------------------------------------------------------------------------------------------------

Net income                                                   7,044              2,961              21,501             14,620
                                                    ---------------    ---------------     ---------------    ---------------
-----------------------------------------------------------------------------------------------------------------------------

Preferred dividend requirements                                229                229                 457                457
                                                    ---------------    ---------------     ---------------    ---------------
-----------------------------------------------------------------------------------------------------------------------------

Earnings available for common stock                 $        6,815     $        2,732      $       21,044     $       14,163
                                                    ===============    ===============     ===============    ===============
-----------------------------------------------------------------------------------------------------------------------------
The accompanying Notes to Consolidated Financial Statements are an integral part
of these statements.

</TABLE>


                                       10
<PAGE>

<TABLE>
                               IES UTILITIES INC.
                           CONSOLIDATED BALANCE SHEETS
<CAPTION>
                                                                               June 30,
                                                                                 1999            December 31,
ASSETS                                                                       (Unaudited)             1998
----------------------------------------------------------------------------------------------------------------
                                                                                      (in thousands)
<S>                                                                        <C>                 <C>
Property, plant and equipment:
  Utility -
    Plant in service -
      Electric                                                             $      2,163,280    $      2,140,322
      Gas                                                                           200,955             198,488
      Steam                                                                          55,794              55,797
      Common                                                                        126,385             106,940
                                                                           -----------------   -----------------
                                                                                  2,546,414           2,501,547
    Less - Accumulated depreciation                                               1,266,117           1,209,204
                                                                           -----------------   -----------------
                                                                                  1,280,297           1,292,343
    Construction work in progress                                                    44,849              48,991
    Leased nuclear fuel, net of amortization                                         37,804              25,644
                                                                           -----------------   -----------------
                                                                                  1,362,950           1,366,978
  Other property, plant and equipment, net of accumulated
    depreciation and amortization of $2,021 and $1,948, respectively                  5,549               5,623
                                                                           -----------------   -----------------
                                                                                  1,368,499           1,372,601
                                                                           -----------------   -----------------

----------------------------------------------------------------------------------------------------------------

Current assets:
  Cash and temporary cash investments                                                 2,195               4,175
  Temporary cash investments with associated companies                                    -              53,729
  Accounts receivable:
    Customer, less allowance for doubtful accounts
      of $593 and $1,058, respectively                                                5,420               16,703
    Associated companies                                                              1,718                2,662
    Other, less allowance for doubtful accounts
      of $672 and $357, respectively                                                  9,036               10,346
  Production fuel, at average cost                                                   11,445              11,863
  Materials and supplies, at average cost                                            25,050              25,591
  Gas stored underground, at average cost                                             3,798              12,284
  Regulatory assets                                                                  16,790              23,487
  Prepayments and other                                                              10,788               4,185
                                                                           -----------------   -----------------
                                                                                     86,240             165,025
                                                                           -----------------   -----------------
----------------------------------------------------------------------------------------------------------------

Investments:
  Nuclear decommissioning trust funds                                                99,459              91,691
  Other                                                                               6,457               6,019
                                                                           -----------------   -----------------
                                                                                    105,916              97,710
                                                                           -----------------   -----------------
----------------------------------------------------------------------------------------------------------------

Other assets:
  Regulatory assets                                                                 130,217             137,908
  Deferred charges and other                                                         15,038              15,734
                                                                           -----------------   -----------------
                                                                                    145,255             153,642
                                                                           -----------------   -----------------

----------------------------------------------------------------------------------------------------------------

Total assets                                                               $      1,705,910    $       1,788,978
                                                                           =================   =================
----------------------------------------------------------------------------------------------------------------

The accompanying Notes to Consolidated Financial Statements are an integral part
of these statements.

</TABLE>


                                       11
<PAGE>

<TABLE>
                               IES UTILITIES INC.
                     CONSOLIDATED BALANCE SHEETS (CONTINUED)
<CAPTION>

                                                                                June 30,
                                                                                  1999               December 31,
CAPITALIZATION AND LIABILITIES                                                 (Unaudited)               1998
--------------------------------------------------------------------------------------------------------------------
                                                                             (in thousands, except share amounts)
<S>                                                                         <C>                    <C>
Capitalization:
  Common stock - $2.50 par value - authorized 24,000,000
    shares; 13,370,788 shares outstanding                                   $          33,427      $         33,427
  Additional paid-in capital                                                          279,042               279,042
  Retained earnings                                                                   237,783               275,372
                                                                            ------------------     -----------------
    Total common equity                                                               550,252               587,841
  Cumulative preferred stock, not mandatorily redeemable -
    $50 par value - authorized 466,406 shares; 366,406 shares outstanding              18,320                18,320
  Long-term debt (excluding current portion)                                          550,952               602,020
                                                                            ------------------     -----------------
                                                                                    1,119,524             1,208,181
                                                                            ------------------     -----------------
--------------------------------------------------------------------------------------------------------------------

Current liabilities:
  Current maturities and sinking funds                                                 51,196                50,140
  Capital lease obligations                                                            12,263                11,965
  Notes payable to associated companies                                                29,706                     -
  Accounts payable                                                                     23,733                43,953
  Accounts payable to associated companies                                             20,140                22,487
  Accrued payroll and vacations                                                         7,546                 6,365
  Accrued interest                                                                     10,817                12,045
  Accrued taxes                                                                        47,128                55,295
  Accumulated refueling outage provision                                               11,017                 6,605
  Environmental liabilities                                                             5,448                 5,660
  Other                                                                                 7,823                17,617
                                                                            ------------------     -----------------
                                                                                      226,817               232,132
                                                                            ------------------     -----------------
--------------------------------------------------------------------------------------------------------------------

Other long-term liabilities and deferred credits:
  Accumulated deferred income taxes                                                   221,362               224,510
  Accumulated deferred investment tax credits                                          27,963                29,243
  Environmental liabilities                                                            28,243                29,195
  Pension and other benefit obligations                                                28,317                25,655
  Capital lease obligations                                                            25,541                13,679
  Other                                                                                28,143                26,383
                                                                            ------------------     -----------------
                                                                                      359,569               348,665
                                                                            ------------------     -----------------
--------------------------------------------------------------------------------------------------------------------

Total capitalization and liabilities                                        $       1,705,910      $      1,788,978
                                                                            ==================     =================
--------------------------------------------------------------------------------------------------------------------

The accompanying Notes to Consolidated Financial Statements are an integral part
of these statements.

</TABLE>


                                       12
<PAGE>
<TABLE>
                               IES UTILITIES INC.
                CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED)
<CAPTION>

                                                                                   For the Six Months Ended June 30,
                                                                                        1999                1998
------------------------------------------------------------------------------------------------------------------------
                                                                                             (in thousands)
<S>                                                                              <C>                  <C>
Cash flows from operating activities:
  Net income                                                                     $           21,501   $          14,620
  Adjustments to reconcile net income to net cash
   flows from operating activities:
     Depreciation and amortization                                                           50,963              48,242
     Amortization of leased nuclear fuel                                                      6,092               5,549
     Amortization of deferred energy efficiency expenditures                                  9,518              10,103
     Deferred taxes and investment tax credits                                               (6,745)             (4,040)
     Refueling outage provision                                                               4,412              (9,341)
     Other                                                                                      529                 536
  Other changes in assets and liabilities:
     Accounts receivable                                                                     13,537              26,121
     Gas stored underground                                                                   8,486              15,056
     Accounts payable                                                                       (22,567)            (10,188)
     Accrued taxes                                                                           (8,167)            (13,734)
     Adjustment clause balances                                                              (8,488)              2,157
     Benefit obligations and other                                                           10,397              20,444
                                                                                 -------------------  ------------------
       Net cash flows from operating activities                                              79,468             105,525
                                                                                 -------------------  ------------------
------------------------------------------------------------------------------------------------------------------------

Cash flows used for financing activities:
    Common stock dividends declared                                                         (58,633)            (18,840)
    Dividends payable                                                                        (4,840)              4,840
    Preferred stock dividends                                                                  (457)               (457)
    Reductions in long-term debt                                                            (50,140)               (140)
    Net change in short-term borrowings                                                      29,706                   -
    Principal payments under capital lease obligations                                       (6,869)             (8,116)
    Other                                                                                        (3)                  -
                                                                                 -------------------  ------------------
      Net cash flows used for financing activities                                          (91,236)            (22,713)
                                                                                 -------------------  ------------------
------------------------------------------------------------------------------------------------------------------------

Cash flows used for investing activities:
    Utility construction expenditures                                                       (41,173)            (42,404)
    Nuclear decommissioning trust funds                                                      (3,004)             (3,004)
    Other                                                                                       236                 100
                                                                                 -------------------  ------------------
      Net cash flows used for investing activities                                          (43,941)            (45,308)
                                                                                 -------------------  ------------------
------------------------------------------------------------------------------------------------------------------------

Net increase (decrease) in cash and temporary cash investments                              (55,709)             37,504
                                                                                 -------------------  ------------------
------------------------------------------------------------------------------------------------------------------------

Cash and temporary cash investments at beginning of period                                   57,904                 230
                                                                                 -------------------  ------------------
------------------------------------------------------------------------------------------------------------------------

Cash and temporary cash investments at end of period                             $            2,195   $          37,734
                                                                                 ===================  ==================
------------------------------------------------------------------------------------------------------------------------

Supplemental cash flow information:
 Cash paid during the period for:
    Interest                                                                     $           24,714   $          24,702
                                                                                 ===================  ==================
    Income taxes                                                                 $           30,824   $          33,468
                                                                                 ===================  ==================
 Noncash investing and financing activities - Capital lease obligations incurred $           18,252   $           1,271
                                                                                 ===================  ==================
------------------------------------------------------------------------------------------------------------------------

The accompanying Notes to Consolidated Financial Statements are an integral part
of these statements.

</TABLE>

                                       13
<PAGE>


                               IES UTILITIES INC.

             NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)

         Except as modified  below,  the Alliant  Energy  Notes to  Consolidated
         Financial  Statements  are  incorporated  by reference  insofar as they
         relate  to IESU.  Alliant  Energy  Note 5 does not  relate to IESU and,
         therefore, is not incorporated by reference.

1.       The interim consolidated financial statements included herein have been
         prepared by IESU, without audit,  pursuant to the rules and regulations
         of the SEC.  Accordingly,  certain information and footnote disclosures
         normally included in financial  statements  prepared in accordance with
         generally  accepted  accounting   principles  have  been  condensed  or
         omitted, although management believes that the disclosures are adequate
         to make the  information  presented not  misleading.  The  consolidated
         financial  statements  include IESU and its  consolidated  wholly-owned
         subsidiary,  IES Ventures Inc. IESU is a subsidiary of Alliant  Energy.
         These  financial  statements  should  be read in  conjunction  with the
         financial  statements  and the notes thereto  included in IESU's latest
         Annual Report on Form 10-K.

         In the opinion of  management,  all  adjustments,  which are normal and
         recurring  in  nature,  necessary  for a fair  presentation  of (a) the
         consolidated  results of operations  for the three and six months ended
         June 30, 1999 and 1998, (b) the consolidated financial position at June
         30, 1999 and December 31, 1998, and (c) the  consolidated  statement of
         cash flows for the six months  ended June 30, 1999 and 1998,  have been
         made. Because of the seasonal nature of IESU's operations,  results for
         the  three  and six  months  ended  June 30,  1999 are not  necessarily
         indicative of results that may be expected for the year ending December
         31, 1999.  Certain  prior period  amounts have been  reclassified  on a
         basis consistent with the 1999 presentation.



                                       14
<PAGE>

<TABLE>
                        WISCONSIN POWER AND LIGHT COMPANY
                  CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED)
<CAPTION>

                                                           For the Three Months                    For the Six Months
                                                              Ended June 30,                         Ended June 30,
                                                          1999               1998                1999               1998
------------------------------------------------------------------------------------------------------------------------------
                                                                                   (in thousands)
<S>                                                  <C>                <C>                 <C>                <C>
Operating revenues:
  Electric utility                                   $      150,510     $      154,314      $      300,455     $      305,624
  Gas utility                                                15,358             16,943              67,151             67,261
  Water                                                       1,248              1,252               2,500              2,428
                                                     ---------------    ---------------     ---------------    ---------------
                                                            167,116            172,509             370,106            375,313
                                                     ---------------    ---------------     ---------------    ---------------
------------------------------------------------------------------------------------------------------------------------------

Operating expenses:
  Electric production fuels                                  26,014             29,471              53,380             58,368
  Purchased power                                            28,425             30,238              52,424             58,839
  Cost of gas sold                                            5,798              8,515              36,979             39,229
  Other operation                                            35,432             39,894              61,540             73,897
  Maintenance                                                13,775             14,479              22,879             24,447
  Depreciation and amortization                              28,407             31,580              59,546             60,838
  Taxes other than income taxes                               7,355              7,504              15,057             15,215
                                                     ---------------    ---------------     ---------------    ---------------
                                                            145,206            161,681             301,805            330,833
                                                     ---------------    ---------------     ---------------    ---------------
------------------------------------------------------------------------------------------------------------------------------

Operating income                                             21,910             10,828              68,301             44,480
                                                     ---------------    ---------------     ---------------    ---------------

------------------------------------------------------------------------------------------------------------------------------

Interest expense and other:
  Interest expense                                           10,078              8,984              19,943             17,367
  Allowance for funds used during construction               (1,109)              (742)             (2,032)            (1,398)
  Miscellaneous, net                                          1,996              3,142              (2,348)             1,276
                                                     ---------------    ---------------     ---------------    ---------------
                                                             10,965             11,384              15,563             17,245
                                                     ---------------    ---------------     ---------------    ---------------
------------------------------------------------------------------------------------------------------------------------------

Income (loss) before income taxes                            10,945               (556)             52,738             27,235
                                                     ---------------    ---------------     ---------------    ---------------
---------------------------------------------------------------------------------------     ----------------------------------

Income taxes                                                  3,992                677              19,497             10,870
                                                     ---------------    ---------------     ---------------    ---------------
------------------------------------------------------------------------------------------------------------------------------

Net income (loss)                                             6,953             (1,233)             33,241             16,365
                                                     ---------------    ---------------     ---------------    ---------------
------------------------------------------------------------------------------------------------------------------------------

Preferred dividend requirements                                 828                828               1,656              1,656
                                                     ---------------    ---------------     ---------------    ---------------
------------------------------------------------------------------------------------------------------------------------------

Earnings available for common stock                         $ 6,125           $ (2,061)           $ 31,585           $ 14,709
                                                     ===============    ===============     ===============    ===============
------------------------------------------------------------------------------------------------------------------------------

The accompanying Notes to Consolidated Financial Statements are an integral part
of these statements.

</TABLE>

                                       15
<PAGE>
<TABLE>
                        WISCONSIN POWER AND LIGHT COMPANY
                           CONSOLIDATED BALANCE SHEETS
<CAPTION>

                                                                             June 30,
                                                                               1999             December 31,
ASSETS                                                                     (Unaudited)              1998
---------------------------------------------------------------------------------------------------------------
                                                                                    (in thousands)
<S>                                                                      <C>                  <C>
Property, plant and equipment:
  Utility -
    Plant in service -
      Electric                                                           $      1,863,733     $      1,839,545
      Gas                                                                         248,576              244,518
      Water                                                                        26,769               26,567
      Common                                                                      222,206              219,268
                                                                         -----------------    -----------------
                                                                                2,361,284            2,329,898
    Less - Accumulated depreciation                                             1,231,444            1,168,830
                                                                         -----------------    -----------------
                                                                                1,129,840            1,161,068
    Construction work in progress                                                  72,024               56,994
    Nuclear fuel, net of amortization                                              16,958               18,671
                                                                         -----------------    -----------------
                                                                                1,218,822            1,236,733
  Other property, plant and equipment, net of accumulated
    depreciation and amortization of $49 and $44, respectively                        627                  630
                                                                         -----------------    -----------------
                                                                                1,219,449            1,237,363
                                                                         -----------------    -----------------
---------------------------------------------------------------------------------------------------------------

Current assets:
  Cash and temporary cash investments                                               4,279                1,811
  Accounts receivable:
    Customer                                                                        5,092               13,372
    Associated companies                                                            1,869                3,019
    Other                                                                           8,378                8,298
  Income tax refunds receivable                                                    10,844                2,715
  Production fuel, at average cost                                                 15,477               20,105
  Materials and supplies, at average cost                                          22,154               20,025
  Gas stored underground, at average cost                                           7,801               10,738
  Regulatory assets                                                                 3,707                3,707
  Prepaid gross receipts tax                                                       21,912               22,222
  Other                                                                             1,399                4,272
                                                                         -----------------    -----------------
                                                                                  102,912              110,284
                                                                         -----------------    -----------------
---------------------------------------------------------------------------------------------------------------

Investments:
  Nuclear decommissioning trust funds                                             152,015              134,112
  Other                                                                            15,408               15,960
                                                                         -----------------    -----------------
                                                                                  167,423              150,072
                                                                         -----------------    -----------------
---------------------------------------------------------------------------------------------------------------

Other assets:
  Regulatory assets                                                                73,244               76,284
  Deferred charges and other                                                      121,508              111,147
                                                                         -----------------    -----------------
                                                                                  194,752              187,431
                                                                         -----------------    -----------------
---------------------------------------------------------------------------------------------------------------

Total assets                                                             $      1,684,536     $      1,685,150
                                                                         =================    =================
---------------------------------------------------------------------------------------------------------------

The accompanying Notes to Consolidated Financial Statements are an integral part
of these statements.

</TABLE>
                                       16
<PAGE>

<TABLE>
                        WISCONSIN POWER AND LIGHT COMPANY
                     CONSOLIDATED BALANCE SHEETS (CONTINUED)
<CAPTION>

                                                                                            June 30,
                                                                                              1999                  December 31,
CAPITALIZATION AND LIABILITIES                                                             (Unaudited)                  1998
-----------------------------------------------------------------------------------------------------------------------------------
                                                                                            (in thousands, except share amounts)
<S>                                                                                    <C>                       <C>
Capitalization:
  Common stock - $5 par value - authorized 18,000,000
    shares; 13,236,601 shares outstanding                                              $           66,183        $          66,183
  Additional paid-in capital                                                                      199,438                  199,438
  Retained earnings                                                                               296,718                  294,309
                                                                                       -------------------       ------------------
    Total common equity                                                                           562,339                  559,930
                                                                                       -------------------       ------------------

  Cumulative  preferred  stock, not mandatorily  redeemable  without par value -
    authorized 3,750,000 shares, maximum aggregate stated value $150,000,000:
      $100 stated value - 449,765 shares outstanding                                               44,977                   44,977
        $25 stated value - 599,460 shares outstanding                                              14,986                   14,986
                                                                                       -------------------       ------------------
        Total cumulative preferred stock                                                           59,963                   59,963
                                                                                       -------------------       ------------------

  Long-term debt (excluding current portion)                                                      414,626                  414,579
                                                                                       -------------------       ------------------
                                                                                                1,036,928                1,034,472
                                                                                       -------------------       ------------------
-----------------------------------------------------------------------------------------------------------------------------------

Current liabilities:
  Variable rate demand bonds                                                                       56,975                   56,975
  Notes payable                                                                                    50,000                   50,000
  Notes payable to associated companies                                                            59,035                   26,799
  Accounts payable                                                                                 62,920                   84,754
  Accounts payable to associated companies                                                         21,790                   20,315
  Accrued payroll and vacations                                                                     8,227                    5,276
  Accrued interest                                                                                  4,240                    6,863
  Other                                                                                             8,014                   14,600
                                                                                       -------------------       ------------------
                                                                                                  271,201                  265,582
                                                                                       -------------------       ------------------
-----------------------------------------------------------------------------------------------------------------------------------

Other long-term liabilities and deferred credits:
  Accumulated deferred income taxes                                                               240,909                  245,489
  Accumulated deferred investment tax credits                                                      32,240                   33,170
  Customer advances                                                                                32,687                   34,367
  Environmental liabilities                                                                        11,366                   11,683
  Other                                                                                            59,205                   60,387
                                                                                       -------------------       ------------------
                                                                                                  376,407                  385,096
                                                                                       -------------------       ------------------
-----------------------------------------------------------------------------------------------------------------------------------

Total capitalization and liabilities                                                   $        1,684,536        $       1,685,150
                                                                                       ===================       ==================
-----------------------------------------------------------------------------------------------------------------------------------

The accompanying Notes to Consolidated Financial Statements are an integral part
of these statements.
</TABLE>


                                       17
<PAGE>
<TABLE>
                        WISCONSIN POWER AND LIGHT COMPANY
                CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED)
<CAPTION>

                                                                                         For the Six Months Ended June 30,
                                                                                            1999                   1998
--------------------------------------------------------------------------------------------------------------------------------
                                                                                                  (in thousands)
<S>                                                                                 <C>                    <C>
Cash flows from operating activities:
  Net income                                                                        $             33,241   $             16,365
  Adjustments to reconcile net income to net cash
   flows from operating activities:
     Depreciation and amortization                                                                59,546                 60,838
     Amortization of nuclear fuel                                                                  3,050                  3,006
     Deferred taxes and investment tax credits                                                    (4,258)                (1,736)
     Other                                                                                          (620)                (3,927)
  Other changes in assets and liabilities:
     Accounts receivable                                                                           9,350                 20,317
     Income tax refunds receivable                                                                (8,129)               (11,224)
     Production fuel                                                                               4,628                  2,402
     Gas stored underground                                                                        2,937                  5,732
     Accounts payable                                                                            (20,359)                   154
     Benefit obligations and other                                                                (7,192)                14,869
                                                                                    ---------------------  ---------------------
       Net cash flows from operating activities                                                   72,194                106,796
                                                                                    ---------------------  ---------------------
--------------------------------------------------------------------------------------------------------------------------------

Cash flows from (used for) financing activities:
    Common stock dividends                                                                       (29,176)               (29,170)
    Preferred stock dividends                                                                     (1,656)                (1,656)
    Net change in short-term borrowings                                                           32,236                (23,697)
                                                                                    ---------------------  ---------------------
      Net cash flows from (used for) financing activities                                          1,404                (54,523)
                                                                                    ---------------------  ---------------------
--------------------------------------------------------------------------------------------------------------------------------

Cash flows used for investing activities:
    Utility construction expenditures                                                            (48,600)               (38,980)
    Nuclear decommissioning trust funds                                                          (14,654)               (12,859)
    Shared savings expenditures                                                                   (7,723)                (3,021)
    Other                                                                                           (153)                 2,023
                                                                                    ---------------------  ---------------------
      Net cash flows used for investing activities                                               (71,130)               (52,837)
                                                                                    ---------------------  ---------------------
--------------------------------------------------------------------------------------------------------------------------------

Net increase (decrease) in cash and temporary cash investments                                     2,468                   (564)
                                                                                    ---------------------  ---------------------
--------------------------------------------------------------------------------------------------------------------------------

Cash and temporary cash investments at beginning of period                                         1,811                  2,492
                                                                                    ---------------------  ---------------------
--------------------------------------------------------------------------------------------------------------------------------

Cash and temporary cash investments at end of period                                $              4,279   $              1,928
                                                                                    =====================  =====================
--------------------------------------------------------------------------------------------------------------------------------

Supplemental cash flow information: Cash paid during the period for:
    Interest                                                                        $             21,860   $             13,085
                                                                                    =====================  =====================
    Income taxes                                                                    $             32,885   $             22,784
                                                                                    =====================  =====================
--------------------------------------------------------------------------------------------------------------------------------

The accompanying Notes to Consolidated Financial Statements are an integral part
of these statements.
</TABLE>


                                       18
<PAGE>



                        WISCONSIN POWER AND LIGHT COMPANY

             NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)

         Except as modified  below,  the Alliant  Energy  Notes to  Consolidated
         Financial  Statements  are  incorporated  by reference  insofar as they
         relate  to WP&L.  Alliant  Energy  Note 5 does not  relate to WP&L and,
         therefore, is not incorporated by reference.

1.       The interim consolidated financial statements included herein have been
         prepared by WP&L, without audit,  pursuant to the rules and regulations
         of the SEC.  Accordingly,  certain information and footnote disclosures
         normally included in financial  statements  prepared in accordance with
         generally  accepted  accounting   principles  have  been  condensed  or
         omitted, although management believes that the disclosures are adequate
         to make the  information  presented not  misleading.  The  consolidated
         financial statements include WP&L and its consolidated subsidiary. WP&L
         is a subsidiary of Alliant Energy. These financial statements should be
         read in conjunction with the financial statements and the notes thereto
         included in WP&L's latest Annual Report on Form 10-K.

         In the opinion of  management,  all  adjustments,  which are normal and
         recurring  in  nature,  necessary  for a fair  presentation  of (a) the
         consolidated  results of operations  for the three and six months ended
         June 30, 1999 and 1998, (b) the consolidated financial position at June
         30, 1999 and December 31, 1998, and (c) the  consolidated  statement of
         cash flows for the six months  ended June 30, 1999 and 1998,  have been
         made. Because of the seasonal nature of WP&L's operations,  results for
         the  three  and six  months  ended  June 30,  1999 are not  necessarily
         indicative of results that may be expected for the year ending December
         31, 1999.  Certain  prior period  amounts have been  reclassified  on a
         basis consistent with the 1999 presentation.


                                       19
<PAGE>

                                   SIGNATURES

Pursuant to the  requirements  of the Securities  Exchange Act of 1934,  Alliant
Energy  Corporation,  IES Utilities  Inc. and Wisconsin  Power and Light Company
have  each  duly  caused  this  amendment  to be  signed  on its  behalf  by the
undersigned thereunto duly authorized on the 1st day of November 1999.

<TABLE>
<CAPTION>

ALLIANT ENERGY CORPORATION
--------------------------
Registrant

<S>                                   <C>
By: /s/ John E. Ebright               Vice President-Controller (Principal Accounting Officer)
John E. Ebright


IES UTILITIES INC.
------------------
Registrant


By: /s/ John E. Ebright               Vice President-Controller (Principal Accounting Officer)
 John E. Ebright


WISCONSIN POWER AND LIGHT COMPANY
---------------------------------
Registrant


By: /s/ John E. Ebright               Vice President-Controller (Principal Accounting Officer)
John E. Ebright

</TABLE>


                                       20