Madison Gas and Electric Energy: Declares regular dividend

Madison, Wis., Jan. 16, 2015—The board of directors of MGE Energy, Inc.

(Nasdaq: MGEE) today declared the regular quarterly dividend of $0.2825 per
share on the outstanding shares of the company’s common stock, payable
March 15, 2015, to shareholders of record at the close of business March 1,
2015.

MGE Energy has increased its dividend annually for the past 39 years and
has paid cash dividends for more than 100 years.

MGE Energy is a public utility holding company. Its principal subsidiary,
Madison Gas and Electric (MGE), generates and distributes electricity to
141,000 customers in Dane County, Wis., and purchases and distributes
natural gas to 147,000 customers in seven south-central and western
Wisconsin counties. MGE’s roots in the Madison area date back more than 150
years.

Stephen R Kraus

Manager – Media Relations

Madison Gas and Electric Co.

608-252-7907

Email Address: SKraus@mge.com