Press Release

AMERICAN SUPERCONDUCTOR AND KOREA’S LS CABLE FORM
STRATEGIC BUSINESS ALLIANCE

- Alliance Targets Commercial Deployment of 10 Kilometers of Superconductor Power Cables
- New Superconductor Transmission Cable Demonstration Project Announced

SEOUL, South Korea – September 23, 2009 – American Superconductor Corporation
(NASDAQ: AMSC), a global energy technologies company, and LS Cable Ltd. (LS Cable)
today formed a strategic alliance to advance commercial sales of superconductor cables. Under
the alliance, LS Cable and AMSC will work collaboratively to deploy at least 10 kilometers (6.2
miles) of superconductor power cables in commercial power grids over the next five years.
 

LS Cable’s superconductor cable systems will utilize AMSC’s proprietary second generation
(2G) high temperature superconductor (HTS) wire, branded as 344 superconductors. This
strategic alliance ensures that LS Cable will have an ongoing supply of high-quality HTS wire
from AMSC. Founded in 1962 and based in Anyang, South Korea, LS Cable is Korea’s largest
power cable manufacturer with nearly 8,200 employees worldwide and annual sales in excess of
US$6 billion.

“LS Cable is committed to advancing the broad adoption of superconductor cable systems to
address the power demands and grid reliability challenges faced by electric utilities today,” said
Joon Hyung Cho, Executive Vice President and Chief Technology Officer of LS Cable. “With
several superconductor demonstrations already complete, Korea’s power grid is set to undergo
continued upgrades in the years to come. We formed this strategic alliance with AMSC to
advance the commercial production of superconductor cable systems to support Korea’s grid of
the future. We are delighted to expand our relationship with AMSC and secure the best-in-class
superconductor wire needed to manufacture our commercial superconductor cable systems.”
Power cables made with AMSC’s HTS wire can conduct up to 10 times the amount of power of
conventional cables, which are made with copper wire. They can be placed strategically in the
power grid to draw flow from overtaxed conventional cables or overhead lines to mitigate grid
congestion experienced in urban centers. They also automatically suppress dangerous power
surges to create resilient, ‘self-healing’ Smart Grids that can survive attacks and natural disasters,
making them an ideal modernization tool for metropolitan power grids.
 

“LS Cable is widely recognized as one of the world’s most respected power cable manufacturers
and innovators,” said Dan McGahn, senior vice president and general manager of AMSC
Superconductors. “This strategic agreement sends a powerful message about LS Cable’s nearterm
plans for building the superconductor power cable market. LS Cable and AMSC both see
tremendous opportunities inside and outside Korea for commercial deployments of transmission
and distribution superconductor cable systems.”

AMSC also announced today that LS Cable is currently working with the Korea
Electrotechnology Research Institute (KERI) to develop a 100-meter, 154 kilovolt (kV)
superconductor cable system that it plans to install in Gochang, South Korea’s power grid in
2011. The system will utilize approximately 13 kilometers (8 miles) of AMSC’s 344
superconductors. This will be Korea’s first superconductor power cable demonstration at
transmission voltages (voltages greater than 69 kV).
 

AMSC first established its relationship with LS Cable in 2005 when the company purchased
AMSC’s first generation (1G) HTS wire for use in a 30-meter, 22.9kV superconductor cable
demonstration. LS Cable and KERI successfully tested the cable system in 2006. In 2008, the
companies completed testing of a 100-meter, 22.9 kV superconductor cable system also powered
by AMSC’s HTS wire.
 

In April 2009, AMSC received its first commercial order from LS Cable for approximately
80,000 meters (50 miles) of its 344 superconductors to manufacture a 22.9 kV cable system that
it will install in Korea Electric Power Corporation’s (KEPCO) Icheon substation near the city of
Seoul in 2010. Capable of carrying 50 megawatts of power, the cable system will be nearly a
half mile in length, making it the world’s longest distribution-voltage superconductor cable
system.
 

AMSC today announced separately that it has formed “AMSC Korea” to locally serve the
region’s rapidly developing renewable energy and power grid sectors as well as the company’s
existing strategic relationships. The incorporated division will provide local sales and field
service as well as applied engineering services for AMSC’s Korean customers, which include LS
Cable, KEPCO, KERI, Doosan Heavy Industries and Hyundai Heavy Industries.
 

About LS Cable
LS stands for “Leading Solution.” LS Group, the country's 17th-largest conglomerate, is leading
the industry of energy and telecommunications systems. LS Cable, the flagship company of the
conglomerate, is a global provider of cables and systems for the power and telecommunications
industry. LS Cable also leads high-technology programs like high temperature superconducting
cable and submarine power transmission cable. LS Cable has 17 subsidiaries and 40 operations
in 17 countries. More information is available at http://www.lscable.com.
 

About American Superconductor (NASDAQ: AMSC)
AMSC offers an array of proprietary technologies and solutions spanning the electric power
infrastructure – from generation to delivery to end use. The company is a leader in alternative
energy, providing proven, megawatt-scale wind turbine designs and electrical control systems.
The company also offers a host of Smart Grid technologies for power grid operators that enhance
the reliability, efficiency and capacity of the grid, and seamlessly integrate renewable energy
sources into the power infrastructure. These include superconductor power cable systems, gridlevel
surge protectors and power electronics-based voltage stabilization systems. AMSC’s
technologies are protected by a broad and deep intellectual property portfolio consisting of
hundreds of patents and licenses worldwide. More information is available at www.amsc.com.
 

American Superconductor and design, Revolutionizing the Way the World Uses Electricity, AMSC, Powered by
AMSC, D-VAR, dSVC, PowerModule, PQ-IVR, Secure Super Grids, Windtec and SuperGEAR are trademarks or registered trademarks of American Superconductor Corporation or its subsidiaries. All other brand names, product names or trademarks belong to their respective holders. The Windtec logo and design is a registered European Union Community Trademark.

Any statements in this release about future expectations, plans and prospects for the company, including our expectations regarding the future financial performance of the company and other statements containing the words "believes," "anticipates," "plans," "expects," "will" and similar expressions, constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. There are a number of important factors that could cause actual results to differ materially from those indicated by such forward-looking statements. Such factors include: we have a history of operating losses, and we may incur losses in the future; a significant portion of our revenues are derived from a single customer, and a reduction in business with this customer could adversely affect our operating results; adverse changes in domestic and global economic conditions could adversely affect our operating results; changes in exchange rates could adversely affect our results from operations; our common stock may experience extreme market price and volume fluctuations, which may prevent our stockholders from selling our common stock at a profit and could lead to costly litigation against us that could divert our management’s attention; if we fail to implement our business strategy, our financial performance and our growth could be materially and adversely affected; we may not realize all of the sales expected from our backlog of orders and contracts; many of our revenue opportunities are dependent upon subcontractors and other business collaborators, and a reduction in orders stemming from these companies could adversely affect our operating results; our products face intense competition, which could limit our ability to acquire or retain customers; our success is dependent upon attracting and retaining qualified personnel and our inability to do so could significantly damage our business and prospects; and our international operations are subject to risks that we do not face in the U.S., which could have an adverse effect on our operating results. Reference is made to these and other factors discussed in the "Risk Factors" section of the company's most recent quarterly or annual report filed with the Securities and Exchange Commission. In addition, any forward-looking statements included in this press release represent the company's views as of the date of this release. While the company anticipates that subsequent events and developments may cause the company's views to change, the company specifically disclaims any obligation to update these forward-looking statements. These forward-looking statements should not be relied upon as representing the company's views as of any date subsequent to the date this press release is issued.

Contact:
Jason Fredette
Director, Corporate Communications
American Superconductor Corporation (NASDAQ: AMSC)
978-842-3177
jfredette@amsc.com

Next Steps…

• » Request more information
• » Request a quote
• » Contact us
• » Attend an event/ webinar