Capstone Turbine releases pre-engineered CHP solution

CHATSWORTH, Calif., July 15, 2002 — Capstone Turbine Corp. has released a new microturbine-driven combined-heat-and-power (CHP) product, achieving a third-quarter milestone goal announced by Capstone management in its first quarter 2002 conference call.

“The intent of this new product offering is to grow our penetration into sub-megawatt CHP market opportunities,” said Dr. Ake Almgren, President and CEO of Capstone Turbine. “This solution product mates the proven advantages and strengths of our core product and those of third-party products specifically designed to match the characteristics of the Capstone MicroTurbine.”

The company anticipates that its Pre-Engineered CHP Solution product, referred to as a “CHP kit” during the company’s first quarter 2002 financial results conference call, will result in a reduction in total installed cost.

Prior to this solution packaging, Capstone distributors and service providers needed to draw major components, technical support and individual product warranty processing from several different sources.

The Pre-Engineered Capstone CHP Solution product enables a single point of contact — Capstone Turbine’s Customer Service division — for equipment ordering, everything-at-once delivery, consolidated engineering details and documentation, technical support for all product components and their integration, and warranty administration. The enhanced uniformity and documentation is also anticipated by Capstone to help streamline site permitting and incentive program processing.

About Capstone Turbine

Capstone Turbine Corporation ( is a producer of very-low-emission microturbine systems. In 1998, Capstone was the first to offer commercial power products utilizing microturbine technology, the result of more than ten years of focused research. Capstone Turbine has sold and shipped more than 2,000 commercial production Capstone MicroTurbine systems to customers worldwide.

These award-winning systems have logged more than 1.5 million hours of operation serving, among others, the following applications:

* Hybrid electric vehicles (HEVs): onboard generation
* Resource recovery: converting oilfield, landfill and sewage waste gases into electricity
* Micro-cogeneration: combined heat/power/chilling/drying solutions
* The 9s market: power security, quality and reliability

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