Baldor Launches 'EnergyGuide' Label Saving 'Big Dollars'

    FORT SMITH, Ark., June 7 Baldor Electric Company
markets, designs, and manufactures electric motors and drives and
is based in Fort Smith, Arkansas.  Baldor today made the following
announcements.

    With American industry facing higher electricity rates, Baldor Electric
Company will begin labeling their Super-E(R) premium efficient motors with a
new EnergyGuide label.  Similar to the yellow tags used on home appliances,
Baldor's EnergyGuide label informs electric motor buyers of the energy savings
and dollar savings they can achieve from installing Baldor Super-E premium
efficient motors.

    According to a recent U.S. Department of Energy (DOE) study, electric
motors use 63% of the electricity used by industry, or 25% of all the
electricity sold in the United States.  The DOE study suggests that this
energy use could be reduced by as much as 18% using "proven, cost effective
technologies", including premium efficient electric motors.

    "Electric motor users are surprised when they see how much it costs to
operate an electric motor.  For example, a 30 horsepower motor can consume
over $22,000 in electricity if operated continuously for a year," said John
McFarland, Baldor President and CEO.  "Installing a Baldor Super-E premium
efficient motor can reduce the electricity cost by nearly $1,200 per year.
That's close to the purchase price of the new Super-E motor."

    Electricity accounts for over 97% of the lifetime cost of an industrial
electric motor.  Purchase price, installation, and repair costs comprise less
than 3%.  A Baldor Super-E motor can reduce electricity use by up to
9% annually.  The dollar savings will be even greater as electricity prices
rise.

    "One of our biggest challenges in marketing Super-E motors is to grab the
attention of the person paying the electric bill," continued McFarland.  "We
have an aggressive marketing campaign underway nationwide to demonstrate to
motor buyers how quickly energy savings can hit their bottom line.  We believe
our new EnergyGuide label will help get this point across."

    Baldor's new EnergyGuide label shows a motor's efficiency rating, annual
electricity cost, and energy savings.  The bright yellow label will be
attached to the outside of every Baldor Super-E motor box, beginning in
mid-July.  It compares dollar cost of power versus average motors (as
determined by the DOE).

    Baldor is also working with the U.S. Environmental Protection Agency as
they develop an "Energy Star" program for industrial motors.  Found on many
consumer appliances, the EPA's Energy Star symbol promotes those products that
are the most energy efficient.  The EPA hopes to expand the Energy Star
program for industrial motors later this year.  The Bush Administration's
National Energy Policy Report recommends expanding the Energy Star program to
additional products.

    "Baldor is the first motor manufacturer to give customers the information
in our new EnergyGuide label with every premium efficient motor we ship,"
added R. S. Boreham, Jr., Baldor's Chairman of the Board.  "We were the first
motor manufacturer back in 1976 to put the efficiency rating for a motor on
its nameplate.  In that same year, the Federal Energy Administration, the
DOE's predecessor, recognized Baldor with their Merit Award, the first to an
electric motor company."

    "In 1991 Baldor was first to receive approval by Canada's BC Hydro to
label our motors under their "Power Smart" program.  Baldor was also first in
1998 to have a line of motors that met the stringent efficiency standards
established by the Consortium for Energy Efficiency (CEE)," Boreham added.