Brascan Power to Acquire Two Hydroelectric Plants From Reliant in Northeast United States

Gatineau, Quebec, January 26, 2005 –Brascan Power announced today that it will has entered into an agreement to acquire two hydroelectric generating facilities totaling 48 megawatts of capacity from Reliant Energy, Inc., for US$42 million.

“The addition of these two peaking facilities marks our entry into the Pennsylvania, New Jersey and Maryland (PJM) electricity market, which is adjacent to and interconnected with New York, a market in which we currently operate. Strategically, this acquisition also furthers our objective of geographic diversification and at the same time extends our market penetration in the northeast”, said Harry Goldgut, Co-Chair and Chief Executive Officer of Brascan Power.

The Piney station is a 28 megawatt facility located on the Clarion River in Pennsylvania and the Deep Creek station is a 20 megawatt facility located on the Youghiogheny River in Maryland. The combined output of the facilities is 96 gigawatt hours.

Brascan Power Inc. comprises the power generating, transmission, distribution and marketing operations of Brascan Corporation. It is a producer and distributor of power and one of the lowest cost producers of hydroelectric power in North America. Brascan Power owns and operates over 120 power generation facilities with a total generating capacity of over 2,600 megawatts. The Company has developed and successfully operated hydroelectric power facilities, primarily across North America, for almost 100 years. (See www.brascanpower.com for more details). Brascan Corporation ( NYSE: BNN, TSX: BNN.LV.A) . is an asset management company with a focus on real estate and power generation with direct investments of $19 billion and a further $7 billion of assets under management. (See www.brascancorp.com for more details).