Re Contract

ABB Ltd
3 July 2002

ABB wins US$ 93 million order for California power connection

Transmission upgrade will make power supply more reliable

Zurich, Switzerland, July 03, 2002 - ABB, the global power and automation
technology group, said today it has won a US$ 93 million order to refurbish a
high-voltage direct current (HVDC) transmission system which will increase the
reliability of electricity supply in California.

Under the terms of the contract awarded by the Los Angeles Department of Water
and Power, ABB will design, manufacture and install a 3,100-megawatt system to
overhaul the current installation located at Sylmar near Los Angeles. ABB will
deliver new converter transformers, HVDC thyristor valves and control and
protection equipment.

'In recent years, investments in transmission systems have not kept pace with
investments in power generation,' said Richard Siudek, executive vice president
and head of ABB's Utilities division. 'Refurbishing this vital power corridor
will improve electricity transfer capability and reliability.'

The current system, one of two major electricity interconnections linking
southern California to the northwestern United States, is now reaching the end
of its operational life, and was damaged by an earthquake in 1994. The system is
critical for the reliable transmission of power from hydro power plants in
Oregon to the Los Angeles area.

The installation is to be completed in 30 months and will combine new,
state-of-the-art seismic-resistant transmission materials with existing
equipment.

ABB built the original terminal at Sylmar during the early 1970s, and upgraded
it twice in the 1990s to its current capacity of 3,100 megawatts. Its uses HVDC,
a technology commercially developed by ABB, which enables large amounts of
electricity to be transmitted with relatively low line losses.

ABB (www.abb.com) is a global leader in power and automation technologies that
enable utility and industry customers to improve performance while lowering
environmental impact. The ABB Group of companies employs 152,000 and operates in
more than 100 countries worldwide.




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