GE Hitachi Nuclear Energy and Hitachi GE Nuclear Energy Establish ABWR Project Office in San Jose

Business Wire, April 17, 2008

WILMINGTON, N.C. -- GE Hitachi Nuclear Energy (GEH) and partner Hitachi GE Nuclear Energy (HGNE) are launching a new Global Unified Project Office at GEH's facility in San Jose, Calif., to offer the nuclear alliance's Advanced Boiling Water Reactor (ABWR) to U.S. utilities considering building new power plants.

The initiative will expand the alliance's portfolio of next-generation nuclear power plants for the U.S. energy market by offering the ABWR in addition to the Economic Simplified Boiling Water Reactor (ESBWR) design currently being reviewed by the U.S. Nuclear Regulatory Commission for final design certification.

The Global Unified Project Office for the ABWR will combine GEH's U.S.-certified ABWR nuclear technology and U.S. design with HGNE's proven experience in the construction of ABWRs in Japan. The Global Unified Project Office for the ABWR is a joint initiative of the alliance that GE and Hitachi launched in 2007 to compete for new reactor orders and service projects. GE Hitachi Nuclear Energy, based in Wilmington, N.C., leads the alliance outside of Japan, and Hitachi GE Nuclear Energy, based in Tokyo, leads the alliance in Japan.

"Our goal is to provide our customers with two outstanding options to meet their individual needs, as they make key decisions about building new nuclear power plants," said Jack Fuller, GEH President and CEO. "Offering both the ABWR and the ESBWR will best position our global nuclear energy alliance for success in the U.S. and global markets, providing our customers with choices to help them meet the increasing energy demands of their communities."

"The Global Unified Project Office for the ABWR will develop the project deployment model for our U.S. and global market customers and will provide a solution for the successful completion of new plant construction," said Masaharu Hanyu, HGNE President and CEO. "We are confident with our ABWR design and construction capabilities based on our successful experiences as a 'total plant supplier' and are excited about the Project Office taking the leadership role for the deployment of ABWR projects."

The Global Unified Project Office held meetings recently in San Jose to kick off this joint effort. A number of skilled nuclear engineering and project management experts will transfer from Wilmington and Japan to join GEH's team in San Jose.

In 1997, the NRC certified GEH's ABWR design for U.S. projects, making it one of only three advanced reactor designs certified for U.S. construction and also the only NRC-certified, Generation III design in commercial operation. The ABWR has successfully operated in Japan since 1996, with GE and Hitachi cooperating on design, equipment and construction.

Hitachi has since built two additional ABWRs in Japan - along with one now under construction as a prime contractor - perfecting new advanced modular construction techniques to further reduce construction costs and improve schedule certainty.

About GE Hitachi Nuclear Energy and Hitachi GE Nuclear Energy

GEH, based in Wilmington, North Carolina, and HGNE, based in Tokyo, Japan, are world-leading providers of advanced reactors and nuclear services. Established in June 2007, the two companies form a global nuclear alliance created by GE and Hitachi to serve the global nuclear industry. The alliance is executing a single, strategic vision to create a broader portfolio of solutions, expanding its capabilities for new reactor and service opportunities. The alliance offers customers around the world the technological leadership required to effectively enhance reactor performance, power output and safety.