DETROIT- DTE Energy plans to sell off some non-utility businesses in 2007, and reduce the demand for capital, which could generate some $1 billion in additional cash for shareholders next year.

What?s more, DTE Energy plans to repurchase approximately 1 million

shares of common stock starting this month to help drive up the per share price. Additional purchases would occur as proceeds of the transactions are received.

“Since the initiation of our non-utility growth strategy nearly 10

years ago, we have achieved significant success,” said DTE Energy CEO Anthony Earley. “Many of these businesses have grown to

sufficient size and scale that we are now well positioned to monetize some

of our non-utility assets while continuing to focus investment on areas

with the greatest long-term potential. These monetizations will provide

increased valuation visibility and directly drive shareholder value through

the repurchase of parent company equity and debt.”

DTE Energy’s Non-Utility Action Plan encompasses the following:

Synthetic Fuel Business: The company intends to lock in cash flows and

capitalize on the upside potential in its synfuel business. DTE Energy now

expects to receive a minimum of $1.2 billion of cash from this business

from 2006-2009, up from the $1.0 billion previously communicated. In

addition, the company has recently entered into a series of options that

could result in an additional $200 million of cash if oil prices in 2007

average below the start of the expected phase-out range of approximately

$62 per barrel.

Non-Utility Peakers: DTE Energy plans to sell, exit or redeploy its

non-utility generation assets and is currently evaluating options for all

four of its peaker sites. As an initial step, two of these facilities were

impaired in September. DTE Energy believes the potential proceeds from

these assets will be $50 million to $150 million and their disposition will

eliminate an annual earnings drag of approximately $13 million.

Unconventional Gas Production: The company is exploring the sale of a

portion of its unconventional gas assets. These assets include acreage

positions in both the Barnett and Antrim shale formations of a combined382,000 acres and 552 billion cubic feet of proved and probable reserves. A

partial sale could allow the company to monetize value from more mature

holdings, while retaining the ability to benefit from the upside from

earlier stage holdings. DTE Energy believes the sale of these assets could

produce proceeds of $250 million to $1 billion.

Power & Industrial Business: DTE Energy is exploring the combination of

a sale of a partnership interest in, and a recapitalization of, some of the

assets of this business, which includes a portfolio of assets supplying

energy and services to large industrial end-users. DTE Energy is

investigating a sale of approximately a 50 percent equity interest in

selected assets and a recapitalization with an appropriate level of debt.

This structure also could provide the source of capital for future

investments and could result in after-tax proceeds to DTE Energy of

approximately $400 million to $600 million.

Fuel Transportation & Marketing: The Gas & Coal Midstream businesses in

this segment continue to exhibit solid performance and steady growth. In

addition, the Energy Trading business in this segment is on track to have

its best year ever in 2006. Energy Trading’s economic earnings and cash

flow have been consistently strong, but accounting earnings have been

volatile due to FAS 133 impacts. In order to improve the visibility and

valuation within this segment the company will move the Gas & Coal

Midstream businesses into a separate reporting segment and explore

alternative structures and strategic options for Energy Trading.

Continued Non-Utility Investments: DTE Energy expects to continue

making focused non-utility investments in areas of highest potential. DTE

Energy sees a strong pipeline of opportunities in the Power & Industrial Projects segment and the Midstream & Storage businesses in the Fuel

Transportation and Marketing segment.

The company said more details will be announced next year.