Filed by El Paso Energy Corporation
Pursuant to Rule 425 under the Securities Act of 1933
Subject Company: El Paso Energy Corporation/The Coastal Corporation
Commission File No. 001-14365
Registration Statement No. 333-31060
CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING STATEMENTS
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This presentation includes forward-looking statements and
projections, made in reliance on the safe harbor provisions
of the Private Securities Litigation Reform Act of 1995.
The companies have made every reasonable effort to ensure
that the information and assumptions on which these
statements and projections are based are current,
reasonable, and complete. However, a variety of factors
could cause actual results to differ materially from the
projections, anticipated results or other expectations
expressed in this presentation, including, without
limitation, oil and gas prices; general economic and weather
conditions in geographic regions or markets served by El
Paso Energy and Coastal and their affiliates, or where
operations of the companies and their affiliates are
located; inability to realize anticipated synergies and cost
savings on a timely basis; difficulty in integration of
operations; and competition. While the companies makes
these statements and projections in good faith, neither
company nor its managements can guarantee that the
anticipated future results will be achieved. Reference
should be made to the companies' (and their affiliates')
Securities and Exchange Commission filings for additional
important factors that may affect actual results.
<PAGE>
INVESTOR NOTICE
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Investors are urged to read the proxy statement/prospectus
included in the Registration Statement on Form S-4 filed with
the SEC in connection with the proposed merger because it will
contain important information. The proxy statement/prospectus
will be available for free on the SEC's web site
www.sec.gov) and from El Paso Energy Corporation's office
of Investor Relations.
In addition, the identity of the people who, under SEC
rules, may be considered "participants in the solicitation"
of El Paso Energy shareholders in connection with the
proposed merger, and a description of their interests, is
available in an SEC filing under Schedule 14A made by El
Paso Energy Corporation on January 18, 2000.
<PAGE>
The following are excerpts which address the El Paso Energy Corporation/
The Coastal Corporation merger, taken from a presentation given by
John Somerhalder President of El Paso Energy Pipeline Group to the
Customer Conference 2000 on March 6, 2000.
[LOGO El Paso Natural Gas]
El Paso Natural Gas Company
-----------------------------------
Customer Conference 2000
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<PAGE>
[Logo] El Paso Energy
John Somerhalder
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President
El Paso Energy Pipeline Group
The New El Paso Energy
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<PAGE>
[LOGO] El Paso Energy
Investing in Energy
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<PAGE>
Investing in Energy
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Transaction
Date Value
- ------------------------------------------------------------------
El Paso Merges with Sonat Oct 25, 1999 $ 6 Billion
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El Paso Acquires Crystal
Gas Storage Jan 5, 2000 $ 57/share
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El Paso & Coastal Announce
Merger Agreement Jan 18, 2000 $ 16 Billion
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El Paso Agrees to Purchase
PG&E-Texas Midstream
Business Jan 31, 2000 $840 Million
[Logo]
<PAGE>
Full-Service Provider in Every
Segment of the Value Chain
[Graphic Map of the United States]
Coastal
- --------
() Production
* Gathering Processing
- - Gas Transmission
o Power Plants
El Paso
- -------
(.) Production
** Gathering/Processing
= Gas Transmission
O Power Plants
PG&E
__ PG&E Gathering
*** PG&E Processing Plants
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Full-Service Provider in Every
Segment of the Value Chain
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[Graphic Map of the United States]
O Production * Gathering/Processing
= Gas Transmission o Power Plants
[] Underground Storage
= El Paso Pipelines
== Coastal Piplines
=== PG&E - Texas
<PAGE>
Diverse Supply
Sources
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[Graphic Map of the United States]
Access to All Major Supply Growth Basins
Canadian Imports 4.0 Bcf/d
Rocky Mountain 1.7 Bcf/d
Gulf Coastal 3.3 Bcf/d
LNG 0.7
<PAGE>
Serving Major Markets
Growth Regions
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[Graphic Map of the United States]
= El Paso Pipelines
== Coastal Pipelines
=== PG&E-Texas
1.5 Bcf/d
0.8 Bcf/d
0.4 Bcf/d
2.2 Bcf/d
1.9 Bcf/d
1.4 Bcf/d
U.S. Consumption
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Year Bcf/d Tcf
1997 58.9 21.5
2004 67.1 24.5
Growth 8.2 3.0
