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Pratt & Whitney Space Propulsion Enters The Electronic Propulsion Market

SAN JOSE, Calif., July 24—Pratt & Whitney (P&W) Space Propulsion, a unit of United Technologies Corporation, announced its acquisition of Space Power Incorporated (SPI) in a move which will expand P&W's product line within the space propulsion market. Based in Sunnyvale, Calif., SPI produces high-performance electric propulsion systems for satellite orbit transfer, orbit raising and stationkeeping.

P&W Space Propulsion's current product line includes solid, liquid, hybrid and hypersonic propulsion systems. With this acquisition, P&W will be able to provide reliable and affordable propulsion for all phases of mission success—from launch to orbital placement and satellite position maintenance. SPI's operation will move to P&W Space Propulsion's facility in south San Jose.

SPI has designed and extensively tested a family of U.S. patented Hall Effect Thrusters (HETs), which offer a broad range of thrust levels at various power levels. Additionally, SPI designs the associated Power Processing Units (PPUs) that convert energy from satellite solar panels into electric power to drive and control the HET propulsion system. Combined with a propellant management system and propellant tanks, these devices will allow P&W to provide spacecraft manufacturers a complete propulsion system exhibiting critical weight savings that will reduce launch costs and increase satellite revenue.

''The resources and capabilities available through P&W will make it possible to rapidly complete development and qualification of our HET electric propulsion systems,'' said Edward J. (Ned) Britt, President and CEO of SPI. ''This synergy extends to both the international relationships of P&W, and to the complementary companies in the United Technologies group. P&W will market reliable HET systems to the satellite manufacturers and provide them with confidence in a qualified product.''

''This is one more step in growing the overall Space Propulsion business to meet the challenges of the 21st century. Electrical propulsion complements Pratt & Whitney's current propulsion systems because it will allow P&W to expand interfaces with current customers and introduce us to important new ones,'' said Greg Fatovic, VP and General Manager, P&W Space Propulsion - Chemical Systems. ''We believe that in the near future virtually all satellites will use some form of electric propulsion and Pratt & Whitney wants to be an important part of that future.''

P&W Space Propulsion builds solid rocket propulsion systems in San Jose, Calif., and liquid and hypersonic propulsion systems in West Palm Beach, Fla. P&W is a unit of United Technologies Corporation, whose companies provide a broad range of high technology products and support services to the aerospace and building systems industries. Those products include Pratt & Whitney aircraft engines, space propulsion systems and industrial gas turbines; Carrier heating, air conditioning and refrigeration; Otis elevator, escalator and people movers; Hamilton Sundstrand aerospace and industrial products; Sikorsky helicopters and International Fuel Cells power systems.

This release contains forward-looking statements as defined under securities laws. Such forward-looking statements involve risks and uncertainties, which could cause actual results to differ from the statements. These include risks and uncertainties connected with transitioning SPI's business to a new facility and those inherent in restructuring operations and expanding product lines to realize opportunities for improved efficiency, cost savings, and improved capabilities.

Contact: Patrick Louden 561-796-6793

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