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Atmos Energy Expands Sensus AMI Deployment

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Original Press Release

Atmos Energy Expands Sensus AMI Deployment

Press release date: September 29, 2007

Friday, September 28, 2007

FlexNet System Meets Energy Company's Enterprise Requirements

Raleigh, NC - Following completion of the initial Sensus FlexNet Advanced Metering Infrastructure (AMI) pilot project covering 1,000 gas meters in New Orleans, Atmos Energy has signed an agreement with Sensus Metering Systems to expand the deployment to an additional 70,000 meters in Louisiana and Texas. Installation of these additional FlexNet SmartPoints(TM) is expected to be completed by the end of this year.

"The early performance and the anticipated advantages of the Sensus FlexNet system in New Orleans, along with our positive experience with the Sensus team, has led us to expand the FlexNet deployment," said David Anglin, director of utility operations for Atmos Energy. "We are continuing our evaluation of FlexNet for use across the Atmos Energy enterprise in an effort to improve our service to our customers and control costs. The system as deployed must meet all of our requirements for AMI in areas including varied density and terrain."

Atmos Energy, the nation's largest pure natural gas distribution company, will potentially benefit from the FlexNet system's proven scalability and superior RF communication ability over its diverse 12-state service territory. "We are confident that this expanded deployment will confirm Atmos Energy's selection of the FlexNet technology and look forward to a long and successful relationship with Atmos Energy," said Colin Flannery, vice president of Sensus Metering Systems.

About FlexNet

FlexNet is a simple, reliable and flexible RF fixed network utility meter reading system, which is designed to increase meter reading efficiency, reduce overhead costs, and enhance customer service. FlexNet offers both two-way and one-way fixed-based monitoring for both urban and rural areas. The primary licensed system and high powered transmitters provide the most robust system available in the market. In addition, the system is designed to be scalable to accommodate growth as a utility expands the meter deployments throughout its service territory.

FlexNet offers the gas utility hourly or daily reporting options, eliminates bad reads, estimated reads and curbside reads. FlexNet provides move-in/move-out reads, is applicable for commercial and industrial meters as well as residential and provides a 20 year battery life. Other benefits of the FlexNet system include: automated reporting of indoor meters, support for gas demand-side rationing programs and delivery of information that can reduce gas theft.

About Atmos Energy

Atmos Energy Corporation, headquartered in Dallas, is the country's largest natural gas-only distributor, serving about 3.2 million gas utility customers. Atmos Energy's utility operations serve more than 1,500 communities in 12 states from the Blue Ridge Mountains in the East to the Rocky Mountains in the West. Atmos Energy's nonutility operations, organized under Atmos Energy Holdings, Inc., operate in 22 states. They provide natural gas marketing and procurement services to industrial, commercial and municipal customers and manage company-owned natural gas storage and pipeline assets, including one of the largest intrastate natural gas pipelines in Texas. Atmos Energy is a Fortune 500 company.

For more information, visit www.atmosenergy.com.

About Sensus Metering Systems

The Sensus Metering Systems companies are leading world-class providers of high-value metering, Automatic Meter Reading (AMR) and Advanced Metering Infrastructure (AMI) system solutions for water, gas, electric, and heat utilities as well as sub-metering entities worldwide. Additional linked businesses include Smith-Blair, Inc. a leading provider of pipe clamp & coupling products for the water, gas, and industrial markets; and Sensus Precision Die Casting that produces complex, high quality die-castings.

For more information, please visit the company's web site at www.sensus.com

FOR IMMEDIATE RELEASE Ann P. Borne Sensus Metering Systems (985) 773-1233 ann.borne@sensus.com

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