Former U.S. Secretary of State James A. Baker, III will serve as advisory chairman to the investment group of new owners of Dallas-based electricity provider TXU Corp., the company announced today.

Baker's appointment was included in the company's news release that provided details of a definitive merger agreement under which an investor group led by Kohlberg Kravis Roberts & Co. (KKR) and Texas Pacific Group (TPG) will acquire TXU in a transaction valued at $45 billion.

"One very important reason for my participation in this transaction is the serious and substantial commitment to a new direction for TXU that takes into account my concerns about the environment," Baker said. "Two years ago in my hometown of Houston, I said publicly that we need to pay more attention to ways to protect our environment and that we needed to begin an orderly transition to cleaner energy.

"TXU's new approach on these issues is a critical and responsible step in reducing Texas' contribution to climate change. I look forward to advising the new owners of TXU in their efforts to foster a sustainable environmental model that will permit responsible economic development and that will serve our state and nation well."

To read the TXU news release, please click here.