Siemens Power Generation Acquires Wheelabrator Air Pollution Control, Inc.; Business Portfolio Expanded to Include Emission Prevention and Control Solutions

Business Wire, Oct 5, 2005

ORLANDO, Fla. -- Siemens Power Generation (PG) is expanding its business portfolio by acquiring Wheelabrator Air Pollution Control, Inc., a leader in the design and supply of air pollution reduction products and solutions for the coal-fired power and industrial markets. The goal of this acquisition is to expand Siemens' offering of market-driven solutions for cleaner, more efficient power generation infrastructure. The deal was closed today by Siemens Power Generation, Inc. and Aquilex Corporation, a private equity firm specializing in the energy industry that had Wheelabrator as part of its holdings. The terms of the transaction were not disclosed.

"The existing global coal-fired power infrastructure will continue to be a mainstay of the power industry. Efficiency and the environment are critical decision factors for our customers thereby fueling a growing global demand for pollution prevention and controls," said Randy H. Zwirn, president and CEO of Siemens Power Generation, Inc. and member of the PG Group Executive Management. "With this in mind, we are committed to helping our customers address this demand by delivering a broad portfolio of highly efficient and cost-effective solutions that have a minimal impact on the environment."

With year-to-date sales of $116.4 million, Wheelabrator is a leading air pollution control company with a track record of over 90 years of operating experience in the industry; a broad and technologically advanced air pollution control product offering, including wet and dry scrubbing systems, fabric filter systems and dry and wet electrostatic precipitators; and significant growth in its bookings and backlog over the last 18 months.

Wheelabrator is headquartered in Pittsburgh, Pennsylvania, and has operations in Milton, Ontario, Canada. It will become part of the Siemens Power Generation global services division.

Strategically this combination matches Wheelabrator's industry leading emissions reduction products with the Siemens PG existing global expertise in highly efficient power plant equipment, turnkey project management and plant retrofits.

Siemens PG further expanded its portfolio in 2004 by acquiring Bonus Energy A/S, one of the world's five leading manufacturers of wind turbines, thus firmly securing its foothold in the renewables market. "Our acquisitions of Bonus Wind Energy and Wheelabrator demonstrate our commitment to expand our product and solution portfolio in alignment with the changing needs of our customers," said Zwirn.

About Wheelabrator Air Pollution Control Inc.

Wheelabrator Air Pollution Control Inc., a member of the Aquilex Corporation family of businesses, is a world leader in the design and supply of air pollution control equipment, turnkey systems and services. Further information about Wheelabrator Air Pollution Control can be found at: www.wapc.com.

About Aquilex

Aquilex Corporation is a leading provider of maintenance, repair and overhaul services to power generation, refining, and industrial companies worldwide. It is a privately held business within the First Reserve Corporation portfolio of companies. Further information about Aquilex can be found at: www.aquilex.com.

About Siemens

The Power Generation Group (PG) of Siemens AG is one of the premier companies in the international power generation sector. In fiscal 2004 (which ended September 30), Siemens PG posted sales amounting to approximately EUR7.5 billion and received new orders totaling EUR9.2 billion. Group profit amounted to EUR961 million. On September 30, 2004, PG had a work force of approximately 30,900 worldwide. Further information at: http://www.siemens.com/powergeneration.> Siemens AG (NYSE:SI) is one of the largest global electronics and engineering companies with reported worldwide sales of $91.5 billion in fiscal 2004. Founded more than 155 years ago, the company is a leader in the areas of Medical, Power, Automation and Control, Transportation, Information and Communications, Lighting, Building Technologies, Water Technologies and Services and Home Appliances. With its U.S. corporate headquarters in New York City, Siemens in the USA has sales of $16.6 billion and employs 70,000 people throughout all 50 states and Puerto Rico. Thirteen of Siemens' worldwide businesses are based in the United States. With its global headquarters in Munich, Siemens AG and its subsidiaries employ 440,000 people in 190 countries. For more information on Siemens in the United States: www.usa.siemens.com.