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Siemens to Supply Industrial Gas Turbines to South Korea and Russia

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Siemens Industry, Inc.
390 Kent Ave.
Elk Grove Village, IL, 60007

Press release date: October 26, 2007

Order Value More than EUR90 Million

Erlangen, Germany, October 26, 2007

Siemens Power Generation (PG) has been awarded three orders from South Korea and Russia for seven SGT-800 gas turbines. Two gas turbines with a capacity of 45 megawatts (MW) each will be supplied to the plant construction company Keangnam Enterprise of Korea, for the A-San district heating plant. Siemens will deliver two further SGT-800 gas turbines, each with 47 MW output, to a combined heat and power plant owned by Suwan Energy Ltd. In addition, Siemens has recently secured a further SGT-800 order from Moscow, Russia, covering three gas turbine generator units to be used in the privately financed Kolomenskaya cogeneration project. The value of all three orders from South Korea and Russia exceeds EUR90 million.

The SGT-800 is the largest in the Siemens industrial gas turbine power range, with an output recently increased to 47 MW. Interest for the SGT-800 is increasing rapidly in the Oceania and Southeast Asia regions, where a number of sales projects are currently nearing completion. In the Moscow region Siemens has already achieved market leadership in the supply of gas turbines in this rating, sold a total of 13 SGT-800 units since 2001.

"The growth region around the Russian capital is currently experiencing a strong increase in demand for energy and our reliable, versatile and proven SGT-800 turbines have been well placed to take a significant share of this market," said Jan-Erik Ryden, head of the Siemens Industrial Gas Turbine business. "The recent successes in Korea, on the heels of previously announced orders in Australia, represent a breakthrough in the Asia-Pacific region for the SGT-800, expanding our global references for this now firmly established turbine."

The Power Generation Group (PG) of Siemens AG is one of the premier companies in the internationalpower generation sector. In fiscal 2006 (which ended September 30), Siemens PG posted salesamounting to more than EUR10 billion and received new orders totaling EUR12.5 billion, according toU.S. GAAP. Group profit amounted to EUR782 million. On September 30, 2006, PG had a work force ofapproximately 36,400 worldwide.

Press Contact Oliver Loenker P.O. Box 32 20 91050 Erlangen Phone: +49-9131 18-7032 Fax: -7039
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