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NEW YORK – Laurence M. Downes, chairman and CEO of New Jersey Resources (NYSE: NJR), addressed financial analysts in New York yesterday. Mr. Downes announced that Standard & Poor’s (S&P) adjusted the business profile of NJR’s principal subsidiary, New Jersey Natural Gas (NJNG) to its highest rating, and reported on NJR’s fiscal 2003 and the first six months of the fiscal year 2004 performance highlights.

NJNG’s business profile was improved by S&P to a “one” from a “two,” representing the lowest possible risk assessment on a 10-point scale. With this change, NJNG is the highest ranked company among all regulated electric, gas and water transmission and distribution utilities within the corporate group rated A+ with a stable outlook by S&P.

“We are proud to receive this independent acknowledgement by one of the most well-recognized and prestigious organizations in the financial community,” Mr. Downes said. “Our team continues to reliably achieve consistent performance by generating outstanding financial results and value for our investors, while maintaining a strong financial profile for the benefit of all stakeholders.”

Financial highlights covered at the meeting included:

• Increasing earnings for the six months ended March 31, 2004, to $2.75 per basic share, compared with $2.39 per basic share last year, a 15 percent increase.
• Providing earnings guidance of between $2.55 and $2.65 per basic share for fiscal 2004.
• Reporting increases in earnings per share in each of the last 12 years and remaining on track for 13 consecutive years of earnings growth.
• Adding approximately 1 billion cubic feet of throughput by NJNG to new and existing customers in the first half of the 2004 fiscal year.
• Achieving annual customer growth of approximately 2.5 percent, which is well above the national average for natural gas distribution companies.
• Generating earnings of $20.6 million during the first six months of the fiscal year for NJR Energy Services.

A full copy of yesterday’s presentation to analysts may be viewed or downloaded from the company’s Web site at njliving.com. Simply click on “Investor Relations” from the home page. The company’s 2003 Annual Report is also available on the Web site.

New Jersey Resources (NYSE:NJR), a Fortune 1000 company and a member of the Forbes Platinum 400, provides retail and wholesale energy services to customers in New Jersey and in states from the Gulf Coast to New England, and Canada. Its principal subsidiary, New Jersey Natural Gas, is one of the fastest-growing local distribution companies in the United States, serving more than 450,000 customers in central and northern New Jersey. Other major NJR subsidiaries include NJR Energy Services and NJR Home Services. NJR Energy Services is a leader in the unregulated energy services market, providing outstanding customer service and management of natural gas storage and capacity assets. NJR Home Services offers retail customers expert heating, air conditioning and appliance services. NJR’s progress is a tribute to the more than 5,000 dedicated employees who have shared their expertise and focus on quality through more than 50 years of serving customers and the community to make NJR a leader in the competitive energy marketplace. For more information, visit NJR’s Web site at njliving.com.