News Release

TECO Energy announces dividend increase

TAMPA, April 17, 2002

TECO Energy announced today that its quarterly dividend will increase nearly 3 percent, from 34.5 cents per share to 35.5 cents per share. This marks the company’s 43rd consecutive year of increasing its dividend.

The increase brings TECO Energy’s annual dividend rate to $1.42 per share, a 4-cent increase. The dividend is payable May 15 to shareholders of record as of May 1.

TECO Energy is a diversified energy-related holding company headquartered in Tampa. Its principal businesses are Tampa Electric, Peoples Gas System, TECO Power Services, TECO Transport, TECO Coal, TECO Coalbed Methane, and TECO Solutions.