BETHESDA, Md. - William H. Timbers, President and Chief Executive Officer of USEC Inc. (NYSE: USU), announced today that the company’s corporate organization is being restructured to streamline operations.

Announcing the changes, Timbers said, "With privatization behind us, we continue to aggressively pursue our goals of efficiency, safety and creation of shareholder value. One of the essential actions in reaching these goals is to streamline the USEC organization to focus our efforts more sharply on revenue enhancement, cost containment and project development, and to enhance performance and responsiveness."

"By consolidating the organization structure into five principal areas, we will simplify management span-of-control. This will increase productivity by stimulating decision-making and accountability by those directly responsible for work being performed."

The new organization includes these changes:

- George P. Rifakes, Executive Vice President, Operations, will become Senior Executive Vice President, devoting full time to overseeing USEC’s advanced technology programs, including commercialization of the AVLIS laser enrichment technology program, headed by William Bennett, Vice President, Advanced Technology. Mr. Rifakes will also be responsible for a new long-term strategic business analysis function, to be headed by Richard Kingdon, Vice President.

- James H. Miller, Vice President, Production, will be promoted to Executive Vice President and will be responsible for production, regulatory affairs and procurement. James N. Adkins will be appointed Vice President, Production, reporting to Mr. Miller.

- Jeffry E. Sterba will join USEC as Executive Vice President and will be responsible for marketing and sales, corporate development, international trade relations and information technology.

- Robert J. Moore, Vice President and General Counsel, will be promoted to Senior Vice President and General Counsel and will be responsible for the legal department, corporate communications, corporate secretary and government affairs. Timothy B. Hansen will be appointed Corporate Secretary.

- Henry Z Shelton, Jr., Vice President and Chief Financial Officer, will be promoted to Senior Vice President and Chief Financial Officer and will be responsible for finance, human resources and administration, and investor relations.

"With this streamlined operation in place, I am looking forward to devoting more of my time to leading the overall corporate effort and further aligning the company’s business objectives and practices with those of our shareholders," Timbers added.

The new organization changes are expected to be effective January 1, 1999. The corporate restructuring is another in a series of post-privatization initiatives consistent with streamlining operations. In November, USEC announced that in the next six months it will take over direct operation of its production facilities from Lockheed Martin Utility Services, its current operations and maintenance contractor.

USEC Inc. is the world leader in production and sales of uranium enrichment services for commercial nuclear power plants. A global energy company with customers in 14 countries, the Company's operations involve approximately 5,000 people. With headquarters in Bethesda, Maryland, the Company manages production plants in Kentucky and Ohio and is developing an advanced laser enrichment technology in California.

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