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Alstom Announces New Facility, 350 Jobs


Posted December 14, 2007

CHATTANOOGA, Tennessee / PARIS, France -- Alstom, a global leader in power generation, announced that its Power Systems Sector will make a major investment in a new manufacturing facility in Chattanooga, TN, where it intends to manufacture steam turbines, gas turbines, generators and related equipment for use in US power generation facilities. This will include manufacturing new steam turbines for fossil and nuclear applications, as well as retrofitting existing steam turbines with up to date technology. The project will represent an investment in excess of $200 million.

“This is a significant investment by Alstom in Chattanooga to expand our manufacturing and engineering capacity in the US, and it will position us to take advantage of the nuclear renaissance in this country,” said Guy Chardon, Senior Vice President of the Turbo Machines activity of Alstom Power Systems. “It is widely recognized that nuclear energy offers a carbon-free, efficient and viable alternative for meeting the increasing demand for energy in the US.”

Last month Alstom announced that it had been selected by UniStar Nuclear Energy (UNE) to provide at least four steam turbine generators for UNE’s planned fleet of nuclear power plants in the US. Alstom plans to manufacture turbines for UniStar at its Chattanooga facility.

“This new facility will also enable Alstom to produce in the USA the large and very efficient ultra supercritical fossil steam turbines that are part of the response to the growing concerns regarding the green house gas emissions generated by burning coal. Another factor was the growing demand for retrofitting of existing power generation equipment and our leading position in the US market for the retrofit of existing steam turbines,” Mr. Chardon said. “Retrofitting of existing power generation equipment improves the efficiency of power plants and contributes to the reduction of carbon dioxide emissions.”

Mr. Chardon noted that Chattanooga was chosen as a base of manufacturing operations for Alstom in the US because it offers several benefits. “We are committed to expanding our
presence in the US so that we can improve our ability to meet the market demand for nuclear power generation equipment and retrofitting,” said Mr. Chardon. “We determined that Chattanooga is an ideal location for us to invest in expanding our manufacturing and engineering capacity in the US.

The city has an excellent transportation infrastructure and it is an almost perfectly centralized location from which to deliver large, heavy steam turbines to current and planned nuclear and other power plants all across the US.”

The company’s investment in a new Chattanooga manufacturing facility, which is located on
Riverfront Parkway, will result in the creation of approximately 350 new jobs.

“We are extremely grateful to the City of Chattanooga, Hamilton County and the State of Tennessee for all they have done to support Alstom over the years and for the close cooperation among local and state officials in working with us to facilitate the investment in our Chattanooga facility,” Mr. Chardon said.

Tennessee Governor Phil Bredesen expressed appreciation to Alstom for making such a major investment in the state. “We are committed to creating higher paying jobs and greater prosperity for all Tennesseans,” Bredesen said. “This investment promises to ripple powerfully through the economy of our state, and we appreciate Alstom’s commitment to Tennessee.”

“Alstom is already a major employer and a valued member of our business community, said Hamilton County Mayor Claude Ramsey, “but this announcement represents a bold new day for advanced manufacturing in Chattanooga. In years to come, I believe this day will be remembered as a milestone in our effort to leverage our region’s tremendous manufacturing heritage to position this community as a location of choice for highly successful businesses and highly skilled people alike.”

According to Chattanooga Mayor Ron Littlefield, Alstom’s investment will be transformational for Chattanooga. “Mayor Ramsey and I, along with Trevor Hamilton and Steve Hiatt, had the opportunity to tour the Alstom facilities in Switzerland and France,” Littlefield said. “Having seen what Alstom has planned for their new Chattanooga operation, I believe that this project will continue to re-shape our riverfront just as dramatically as the 21st Century Waterfront Plan.”

“Alstom's investment is a tremendous endorsement of the business climate and cooperative spirit existing between Chattanooga and the state of Tennessee," said Commissioner Matt Kisber, Tennessee Department of Economic and Community Development. "Alstom's decision to grow their business in Tennessee shows our ongoing commitment to helping Tennessee companies and does have a positive impact on job growth”

“Because the products Alstom will manufacture here are essential to America’s bid to be more energy independent, I believe that this project heralds strong growth for our region’s energy-related industries,” said Trevor Hamilton, vice president of economic development for the Chattanooga Area Chamber of Commerce. “Alstom’s investment is another major step towards achieving our goal of creating and sustaining more rapid economic growth in our region.”

Alstom currently employs 1,220 Tennesseans, including 620 workers at the Chattanooga facility and 600 workers at their Knoxville facility. With operations in 70 countries, Alstom brings international expertise and extensive knowledge of local markets as a fully integrated provider of clean, efficient and technologically advanced power generation solutions in all key energy markets (including coal, natural gas, nuclear and hydro and wind). The world’s No. 1 supplier of nuclear turbine systems, Alstom has installed more than 178 units worldwide, meaning that more than 30 percent of the entire worldwide nuclear installed base uses Alstom equipment.


About Alstom
Alstom (www.alstom.com) is a global leader in the world of power generation and rail infrastructure and sets the benchmark for innovative and environmentally friendly technologies. Alstom builds the fastest train and the highest capacity automated metro in the world, and provides turnkey integrated power plant solutions and associated services for a wide variety of energy sources, including hydro, gas, coal and wind. About 25 percent of the world’s electricity produced is generated by Alstom technology. The Group employs 65,000 people in 70 countries, and had orders of euro 19 billion in 2006-07

Media Inquiries:
Alstom:
Melina Georgitsis (Melina.A.Georgistis@power.alstom.com)
Alstom Power Systems
+1 860.938.0531

Or

Andy Merrill (andy.merrill@finsbury.com)
Steven Goldberg (steven.goldberg@finsbury.com)
Finsbury Group
+1 212.303.7600

Chattanooga Chamber of Commerce:
J.Ed. Marston (jmarston@chattanoogachamber.com)
Direct: +1 423.763.4347
Mobile: +1 423.364.0825