SatCon Developing Next Generation Power Products Using Silicon Carbide Power Semiconductors

Source: SatCon Technology Corporation

Cambridge, MA. SatCon Technology Corporation (Nasdaq NM:SATC), a leader in power and energy management products targeting the distributed power generation and power quality markets, today announced that it has just been selected for a $75,000, first phase, contract award with the Department of the Army to develop a motor controller using silicon carbide power semiconductors, which will supplement SatCon s ongoing investment in high power conversion systems. The contract has a potential $750,000 follow-on phase.

A new generation of power electronics products based on silicon carbide devices will allow power conversion systems to operate at higher temperatures and higher efficiencies. Smaller sized power electronics using these new silicon carbide devices will require less space, be lighter weight, more efficient, and less costly. The use of silicon carbide devices is being driven by the need for higher density power electronics in the next generation of telecom/datacom power supplies, next generation automotive power electronics, and next generation distributed power conversion electronics.

SatCon has been active in ongoing and recent new development programs to build power circuits using silicon carbide power semiconductors and other high temperature circuit components, which could lead to the next generation of power electronics using more efficient, smaller and easier to cool power circuits.

"Being able to offer silicon carbide based power conversion products, we believe, could provide SatCon with significant competitive advantages as we look out to the near future when these products will need to be even smaller, more efficient, and lower cost than current products", said David Eisenhaure, SatCon president and chief executive officer.

"We have been developing these high temperature electronics using silicon carbide under a previously awarded contract for Combat Hybrid Power Systems. We also developed high temperature components for the Department of Energy. Our new Department of the Army motor controller program helps to validate our power conversion technology and will enable us to build on the intellectual property that we have developed from our Automotive Integrated Power Module work with the Department of Energy and the PowerGate™ power converters that we are building for fuel cell and other alternative energy customers."

SatCon Technology Corporation manufactures and sells power and energy management products for distributed power generation, telecommunications, silicon wafer manufacturing, factory automation, aircraft, satellites and automotive applications. SatCon has three operating segments that contain six divisions. Under the Electronics Products segment, Advanced Fuel Cell Power Products manufactures and sells power conversion products for fuel cell and other power generation systems and Film Microelectronics, Inc. designs and manufactures standard and custom microelectronic circuits and interconnect products.

Under the Motion Control Products segment, Magmotor manufactures standard and custom high-performance motors and magnetic suspension systems and Ling Electronics manufactures shaker vibration test equipment, power converters, amplifiers and controllers. Under the Contract Research and Development segment, SatCon Electronic Power Products performs contract product development for power electronics including hybrid and electric drivetrains, and the Technology Center is responsible for new technology and product development. Our affiliate, Beacon Power Corporation, is developing flywheel energy storage systems for uninterruptible power and power quality management. For further information, please visit the SatCon website at http://www.satcon.com.

Statements made in this document that are not historical facts or which apply prospectively are forward-looking statements that involve risks and uncertainties. Among the important factors that could cause the Company s actual circumstances, or results, to differ materially from those implied by such forward-looking statements include market conditions, the failure of the Department of the Army to fund and award the motor controller contract, the failure to successfully develop silicon carbide based products, market acceptance of silicon carbide based products, developments in the Company s business and industry and difficulties in developing technology enhancements.

Additional information concerning factors that could cause actual results to differ materially from those in the forward-looking statements is contained from time to time in the Company s filings, including but not limited to the 10-K and 10-Q. Copies of those filings are available from the Company and the SEC.

Contact: SatCon Technology Corporation Sean Moran Tel: 617 661-0540 or Thomson Financial Investor Relations Erik Knettel Tel: 212 701-1963