<DOCUMENT>
<TYPE>EX-99
<SEQUENCE>4
<FILENAME>r8k082504exhibit99b.txt
<DESCRIPTION>EX-99(B) ALLETE NEWS RELEASE DATED 8-25-2004
<TEXT>
<PAGE>
                                                                   EXHIBIT 99(b)
[ALLETE LOGO]

                                               For Release:    August 25, 2004
                                                   CONTACT:    Eric Olson
                                                               218-723-3947
                                                               eolson@allete.com

                                                   INVESTOR    Tim Thorp
                                                   CONTACT:    218-723-3953
                                                               tthorp@allete.com
NEWS
               ALLETE DECLARES SPIN-OFF DATE, REVERSE STOCK SPLIT;
               ---------------------------------------------------
                  NEW DIVIDEND PROJECTED FOR DECEMBER 1 PAYMENT
                  ---------------------------------------------

DULUTH, Minn.-- The board of directors of ALLETE, Inc. (NYSE: ALE) announced
today that the company will distribute its remaining equity interest in ADESA,
Inc. (NYSE: KAR) to ALLETE shareholders on September 20, 2004.

ALLETE expects to distribute to its shareholders one share of ADESA common stock
for each outstanding share of ALLETE common stock they own on the record date of
September 13, 2004. The distribution is structured to qualify as a tax-free
stock dividend.

"We're very pleased to report that the full separation of these companies is
imminent," said David Gartzke, chairman and CEO of ADESA and outgoing chairman
of the ALLETE board. "Both companies are well positioned for the future."

ADESA common stock received by registered ALLETE shareholders as a result of the
spin-off will be in book-entry form. Holders will receive a statement of
ownership indicating the number of shares credited to their account.

Given the nature of the transaction, any holder of ALLETE common stock who sells
shares on or before September 20 will also be selling their entitlement to
receive shares of ADESA common stock in the spin-off. Investors are encouraged
to consult with their financial advisors regarding the specific implications of
selling ALLETE common stock before the spin-off.

ALLETE also announced that, in connection with the spin-off, its board of
directors approved a one-for-three reverse stock split, which will become
effective immediately following the spin-off. Every three shares of ALLETE
common stock will be converted into one share of "new" ALLETE common stock.

A letter of transmittal relating to the reverse stock split will be mailed to
holders of ALLETE common stock certificates once the reverse stock split is
effective. These holders will ultimately receive their "new" shares in
book-entry form and a cash payment for any fractional share. Participants in
Invest Direct, ALLETE's direct stock purchase and dividend reinvestment plan,
and the ALLETE and Affiliated Companies Employee Stock Purchase Plan will
receive their whole and fractional shares resulting from the reverse split
credited to their accounts.

The ALLETE board also announced that it anticipates declaring a post-spin-off
quarterly dividend of 30 cents per share. The board expects to declare the
dividend at a regularly scheduled meeting in October for payment on December 1.

                                     -over-

<PAGE>

News Release                                                     August 25, 2004

"All registered holders of ALLETE common stock will be mailed information within
the next few days," said Donald J. Shippar, president and CEO of ALLETE. "This
information will describe the actions the board took and how it affects them
individually."

Upon completion of the spin-off, Gartzke will continue as chairman, president
and CEO of ADESA, while Shippar will remain as president and CEO of ALLETE.
Gartzke will be succeeded as chairman of the ALLETE board by current director
Bruce Stender.

ALLETE purchased ADESA, Automotive Finance Corporation (AFC) and several related
automotive remarketing businesses in 1995. Under ALLETE's ownership, ADESA grew
to become North America's largest publicly traded wholesale vehicle auction
network and the largest provider of used vehicle dealer floorplan financing. The
company's holdings include 53 ADESA used vehicle auctions, 28 Impact salvage
vehicle auctions, and 80 AFC loan production offices.

THE STATEMENTS CONTAINED IN THIS RELEASE AND STATEMENTS THAT ALLETE MAY MAKE
ORALLY IN CONNECTION WITH THIS RELEASE THAT ARE NOT HISTORICAL FACTS, ARE
FORWARD-LOOKING STATEMENTS. ACTUAL RESULTS MAY DIFFER MATERIALLY FROM THOSE
PROJECTED IN THE FORWARD-LOOKING STATEMENTS. THESE FORWARD-LOOKING STATEMENTS
INVOLVE RISKS AND UNCERTAINTIES AND INVESTORS ARE DIRECTED TO THE RISKS
DISCUSSED IN DOCUMENTS FILED BY ALLETE WITH THE SECURITIES AND EXCHANGE
COMMISSION.

                                      ####

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