Letter of Intent Signed

ABB Ld
27 January 2000


      ABB signs Letter of Intent on $650-million Brazil ethylene complex

Zurich, Switzerland, January 27, 2000 - ABB, the global technology group,
confirmed today it is part of a consortium that has signed a Letter of Intent to
develop a greenfield gas chemical complex near Rio de Janeiro, Brazil.  The
agreement was signed with Consorcio Rio Eteno e Rio Polimeros Ltda.  The project
has a value to ABB of about US$650 million.  ABB expects to book the order in
the next few months, pending completion of financing, which is currently at an
advanced state.

The agreement covers the design and construction of ethylene and polyethylene
facilities using proprietary ABB process technologies.  The plant is scheduled
to enter commercial operation at the end of 2003.

Consorcio Rio Eteno e Rio Polimeros Ltda. is owned by Brazilian petrochemicals
groups Suzano and Unipar, as well as state oil company Petrobras and BNDES
development bank.

ABB  is a global technology company serving customers in
power transmission and distribution; automation; oil, gas, and petrochemicals;
industrial products and contracting; and in financial services.  Power
generation customers are served by the joint venture ABB ALSTOM POWER.  The ABB
Group employees about 170,000 people in more than 100 countries.