Re Contract

ABB Ltd
6 June 2002



ABB wins US$ 115 million contract to strengthen Mexico's power supply

Work will fortify link between hydroelectric plant and national power grid

Zurich, Switzerland, June 6, 2002 - ABB, the global power and automation
technology group, has won a US$ 115 million contract from Mexico's national
power company, Comision Federal de Electricidad (CFE), to build a 242-kilometer
high-voltage power transmission system to strengthen the connection between the
country's largest hydroelectric plant at Manuel Moreno and the national power
grid.

It is the fourth large transmission project ABB has been awarded in Mexico since
the end of 2000. 'ABB's strong local presence and broad range of capabilities in
power transmission systems enable us to provide CFE with the right solution
delivered both rapidly and cost effectively,' said Richard Siudek, executive
vice president and head of ABB's Utilities division.

Working with Mexico-based consortium partner Techint, ABB will construct the
first 242 kilometers of overhead transmission line between Manuel Moreno and the
Juile substation, including advanced fiber optic links and integrated control
systems, and will build a new substation at Cerro Del Oro. The new transmission
system is scheduled to start operations at the end of 2003.

The contract is part of an overall US$ 269 million plan by CFE to develop
Mexico's electrical infrastructure to meet the country's steadily increasing
energy needs. The plan involves building around 600 kilometers of 400-kilovolt
overhead transmission line to improve the link between the 1,500-megawatt
hydroelectric plant at Manuel Moreno, in the southeastern state of Chiapas, and
Tecali, close to the city of Puebla, in the more heavily populated and
industrialized central region.

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. ABB has 152,000 employees in more than 100 countries.




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