May 11, 2007 -- Aquila, Inc. (NYSE:ILA) today announced its election to redeem $344 million in aggregate principal amount of its debt securities outstanding. The securities to be redeemed in full by the company, and certain terms applicable to the redemptions, include Aquila 7.875% Quarterly Interest Bonds due March 1, 2032 03840P300 $287,500,000 Par ($25) Call date June 15, 2007. For each series of securities to be redeemed, the redemption price will include any accrued and unpaid interest to the redemption date.

QUANTUMONLINE.COM SECURITY DESCRIPTION:  UtiliCorp United (now Aquila Inc., NYSE: ILA), 7.875% Quarterly Interest Bonds (QUIBS) due 2032, issued in $25 denominations, redeemable at the issuer's option on or after 2/28/2007 at $25 per bond plus accrued and unpaid interest, maturing 3/01/2032, distributions of 7.875% ($1.96875) per annum are paid quarterly on 3/1, 6/1, 9/1 & 12/1 to holders of record on 2/15, 5/15, 8/15 & 11/15 respectively. Units are expected to trade flat, which means accrued interest will be reflected in the trading price and the purchasers will not pay and the sellers will not receive any accrued and unpaid interest. The Notes are senior unsecured securities of the company and will rank equally with all existing and future unsecured and unsubordinated indebtedness of the company. See the IPO prospectus for further information on the debt securities by clicking on the ‘Link to IPO Prospectus’ provided below.

Stock Exchange	Cpn Rate Ann Amt	LiqPref CallPrice	Call Date Matur Date	Moodys/S&P Dated	Distribution Dates	15% Tax Rate
NYSE Chart	7.88% $1.96875	$25.00 $25.00	Called for 6/15/2007 3/01/2032	B2 B- 1/15/2006	3/1, 6/1, 9/1 & 12/1 Click for MW ExDiv Date Click for Yahoo ExDiv Date	No

Company's Online Information Links

HOME PAGE:     http://www.aquila.com/
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Online Company Profile	Go to Online Profile

Company's Online SEC EDGAR Filings

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Company's Email Address Links

Email Address	neala.clark@aquila.com
Email Request Form on Website	Go to Email Form

Address and Phone Numbers

Address:   20 West Ninth Street, Kansas City, MO 64105
Main Phone Number	816-421-6600
Fax Number	816-467-3395
Investor Relations   Neala Clark	816-467-3562
Toll Free Phone Number	800-891-3687

CHR - Richard C. Green, Jr.

CEO - Robert K. Green

CFO - Dan Streek