Sam Jones to Serve as Acting CEO During Search for Replacement

Austin, May 16, 2006 – ERCOT Board Chairman Mark Armentrout issued the following statement today:

"With regret, the ERCOT Board of Directors today accepted the resignation of Thomas F. Schrader as President and Chief Executive Officer.

For nearly two years, Tom has served the organization with dedication and a commitment to excellence.  He took the reins of ERCOT at a very challenging time and has accomplished a great deal.  Under his leadership, ERCOT has reduced its fee request by 8 percent and found millions of dollars in budget savings without sacrificing performance.  ERCOT has made great progress in implementing business processes and internal control procedures that will enhance the organization’s long-term strength and credibility.  Tom personally reshaped the ERCOT vision and mission to focus the organization on bringing value to Texas consumers, and has tied its activities directly to ERCOT’s Senate Bill 7 responsibilities.

The board has authorized the immediate launch of an executive search to recruit Tom’s successor.  Until that person is in place, the board has asked Sam Jones to serve as Acting CEO, and we are pleased to report that Sam has agreed.

The entire ERCOT organization wishes Tom well in his future endeavors."

From ERCOT Archived Press Releases, "Thomas F. Schrader to begin tenure with ERCOT on July 26, 2004"

Mark Armentrout, a former senior executive with MBNA and Atlantic Richfield Company, has served as ERCOT board chair since December 2005.  He holds one of five seats on the board reserved for independent, or unaffiliated, members (one of those seats is currently vacant pending recruitment of the new member).  The ERCOT board also consists of six representatives of stakeholder groups; three consumer representatives; the ERCOT CEO; and the chairman of the Public Utility Commission (ex-officio, non-voting).