AMSC Announces Initial Fiscal Year 2010 Revenue and Earnings Forecasts

American Superconductor Corporation (NASDAQ: AMSC), a global power technologies company, affirmed financial forecasts for its fiscal year 2009 and provided its initial outlook for fiscal 2010 at the company’s Analysts’ Day today.

The company reaffirmed that it expects revenues will grow more than 60 percent to a range of $300 million to $310 million in its fiscal 2009 compared to approximately $183 million in fiscal 2008. The company maintained its guidance for GAAP net income of $11 million to $13 million, or $0.24 to $0.29 per diluted share, for fiscal 2009. On a non-GAAP basis, the company continues to expect net income of $27 million to $29 million, or $0.59 to $0.64 per diluted share, for full year fiscal 2009.

For fiscal 2010, the company expects to grow revenues to more than $400 million. The company also expects to generate GAAP net income of more than $36 million, or more than $0.77 per diluted share, and a non-GAAP profit of more than $54 million, or more than $1.15 per diluted share, for fiscal 2010.

Please refer to the financial table included below for a reconciliation of GAAP to non-GAAP forecasts.

“With more than $300 million of fiscal 2010 backlog in hand today, we have a strong platform to grow our total revenues to more than $400 million in fiscal 2010,” said Greg Yurek, AMSC’s founder and chief executive officer. “We expect substantial earnings growth in fiscal 2010, driven by increased revenues, greater productivity in all of our operations, and lower manufacturing costs as the result of initiatives we have undertaken in recent quarters.”

AMSC’s Analysts’ Day will begin at 8:30 a.m. ET today and will include presentations from management regarding the company’s power technologies, business strategy and financial outlook. Those interested in listening to the live or archived broadcast via the Internet should log on to the “Investors” section of AMSC's website, www.amsc.com/investors.

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, grid-level 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.