Lake Oswego Corporation

Saturday, January 14, 2006
7:00AM


Dear Shareholders:

Flood Event Update

As of about 6 am this morning the headgate river level is at 112.90,
down from 112.96 at about 1 am this morning. As of 5am West Linn is at
13.43 after peaking at 13.48 around midnight last night. Weather this
coming week should be typical for this time of year so river levels
should continue dropping.

Oswego Lake level is down to 97.54 so the powerplant will be turned off
this morning to allow the lake level to slowly recover.

We again remind those with boats moored floating on the lake to check their tie lines making sure there is enough slack to allow for the low lake levels.

No further flood statements are anticipated for this current event.

Mark Rosenkranz
Lake Oswego Corporation
503-636-1422, ext 6