A recent version of the high-energy transport code HADRON is described in part of the hadron event generator. The improved cascade-exciton model was extensively tested by the experimental data for double differential cross sections for the (N, xN')-reactions. Good agreement with experiment in wide ranges of nucleon energies and target nuclei confirms reliability of the new physical model. Ways for further improvements are discussed. (C) 2000 Elsevier Science B.V. All rights reserved.