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SatCon Subsidiary Magmotor Announces an Initial Major Production Order

15 July 1999

SatCon Subsidiary Magmotor Announces an Initial Major Production Order From Haas Automation, a Leading Machine Tool Manufacturer

    CAMBRIDGE, Mass.--July 15, 1999--SatCon Technology Corporation(R) (Nasdaq NM:SATC), today announced that its Magmotor subsidiary received purchase orders for 1200 servo-motors from its new customer, Haas Automation of Oxnard, California, (www.haascnc.com). With 1998 sales of $326 million, Haas is one of the world's largest and fastest growing CNC machine tool manufacturers. Haas has a wide product offering for the machine tool industry requiring servo-motors of different size and power depending upon the application. After a rigorous test program, Magmotor has successfully qualified five different motors for use in Haas products.
    "This order starts the beginning of a growing and successful relationship between our two companies," said David Eisenhaure, SatCon's President and Chief Executive Officer. "With Haas representing $326 million in annual revenues, we believe the potential for Magmotor from these and other motor products for Haas could be millions of dollars annually. It is also a confirmation of our strategy to leverage technology to build quality products at a competitive price providing the best value to our customers."
    Jim O'Rourke, Magmotor's General Manager added, "This order has additional significance for future business. The Haas orders for these motors are anticipated to increase, giving Magmotor a sustained volume and an opportunity to incorporate additional cost reduction measures. The net result will be an even greater competitive advantage for Magmotor in the motion control market."
    SatCon Technology Corporation(R) manufactures and sells power and energy management products for telecommunications, silicon wafer manufacturing, factory automation, aircraft, satellites and automotive applications. These products include advanced electric motors, high-density power electronics, suspension systems, satellite control systems, propulsion systems, and flywheel energy-storage systems for a variety of commercial and government customers. SatCon has four subsidiaries: Film Microelectronics, Inc. designs and manufactures microelectronic circuits and interconnect products. Magmotor manufactures motors and suspension systems. Beacon Power manufactures flywheel energy storage devices, and the Technology Center is responsible for new technology and product development.

    Note: This release contains forward-looking statements that involve a number of risks and uncertainties. For this purpose, any statements contained herein that are not statements of historical fact may be deemed to be forward-looking statements. Without limiting the foregoing, the words "believes," "anticipates," "plans," "expects," "intends" and similar expressions are intended to identify forward-looking statements. Important factors that could cause actual results to differ materially from those indicated by such forward-looking statements are set forth under the caption "Factors Affecting Future Results" in the Company's Annual Report on Form 10-K for the year ended September 30, 1998, which factors are incorporated herein by reference. Please note that the Company's future growth opportunities are dependent on the introduction of new products that must penetrate commercial market segments. No assurance can be given that new products can be developed, or if developed, will be successful; that competitors will not force prices to an unacceptably low level or take market share from the Company; or that the Company can achieve or maintain profits in these markets.