Certain information in this Managementís Discussion and
Analysis is forward-looking and is subject to important risks and uncertainties.
The results or events predicted in this information may differ from actual
results or events. Factors which could cause actual results or events to differ
materially from current expectations include, among other things, the ability of
TransCanada to successfully implement its strategic initiatives and whether such
strategic initiatives will yield the expected benefits, the availability and
price of energy commodities, regulatory decisions, competitive factors in the
pipeline and power industry sectors, and the prevailing economic conditions in
North America. For additional information on these and other factors, see the
reports filed by TransCanada with Canadian securities regulators and with the
U.S. Securities and Exchange Commission. TransCanada disclaims any intention or
obligation to update or revise any forward-looking statements, whether as a
result of new information, future events or otherwise.