SOURCE: Composite Technology Corporation

April 21, 2008 08:05 ET

Composite Technology's DeWind Announces Comprehensive Turbine Warranty Package

Package Available on All New 2.0 Megawatt Turbine Sales

IRVINE, CA--(Marketwire - April 21, 2008) - Composite Technology Corporation (CTC) (OTCBB: CPTC) announced today that its subsidiary DeWind now offers a complete warranty package for the 2.0 megawatt turbine product line. The comprehensive warranty package is available for up to five years on all D8 50Hz and D8.2 60Hz and 50Hz turbines shipped worldwide. DeWind provides a standard two year warranty with each turbine and provides the opportunity for customers to extend the warranty for an additional three years.

DeWind created the warranty program to provide security to customers and to underscore its commitment to the quality and reliability of the DeWind turbine products. The warranty package includes multiple levels of protection:

--  DeWind Self-Insured Escrow Fund administered through Wells Fargo
--  Full Mechanical Breakdown Coverage underwritten by Zurich
    American Insurance Co.
--  Enhanced Supplier Warranty program for up to 5 year coverage for
    all major system components including the Voith WinDriveTM
--  Enhanced Professional Liability Insurance underwritten by AIG

Benton Wilcoxon, CEO of CTC, stated, "This warranty program is a major step for Dewind and our customers. We have been working to create a meaningful package of protections for quite some time and we believe we have accomplished this in a manner and depth not previously seen in the wind industry. We particularly appreciate the commitment and confidence shown by our major suppliers who by their actions stand firmly behind their product and the DeWind turbine."

The warranty package is available now. CTC collaborated with Brakke-Schafnitz Insurance Brokers Inc. and Zizian-Reilich LLC, Risk Managers, for the insurance component of the package. Details of the warranty program are available by contacting CTC directly.

About CTC:

Composite Technology Corporation, based in Irvine, California, USA, develops, manufactures and sells innovative high performance electrical transmission and renewable energy generation products through its subsidiaries:

--  CTC Cable Corporation produces composite rod for use in its
    patented ACCC* (Aluminum Conductor Composite Core) conductors, which are
    "high efficiency conductors" for use in electrical transmission grid
    systems.  ACCC conductors demonstrate less electricity line losses when
    compared with conventional conductors and when deployed in place of
    conventional conductors on existing systems, the higher efficiency of ACCC
    conductors enables power generators to reduce the amount of power they must
    generate while still delivering the same power to the customers.  They have
    also demonstrated significant savings in upgrade capital costs and
    operating expenses when substituted in grid systems for other conductors.
    ACCC conductors enable grid operators to reduce blackouts and brownouts,
    providing a 'reserve electrical capacity' by operating at higher
    temperatures without significant thermal sag of the lines. ACCC conductors
    are an innovative economical solution for reconductoring power lines,
    constructing new lines and crossing large spans. ACCC composite core is
    delivered to qualified conductor manufacturers worldwide for local ACCC
    conductor production and resale into local markets.
--  DeWind Inc. designs, produces, and sells the DeWind series of
    wind energy turbines, including the new 2 megawatt (MW) D8.2 model
    available in both 60Hz and 50Hz; the 2MW D8 model in 50Hz; and the 1.25MW
    D6 model in 50Hz. The new D8.2 has been operating since early 2007 at
    Cuxhaven, Germany, and utilizes the advanced WinDrive® hydrodynamic
    torque converter developed by Voith AG in combination with a synchronous AC
    generator with high voltage output that is connected directly to the grid
    without the use of power conversion electronics. The first 60Hz D8.2 is now
    operating at Sweetwater, Texas, where it will initially be used for
    demonstration to North American customers. DeWind D8.2 turbines are now
    being assembled at TECO Westinghouse Motor Co., in Texas for our North and
    South American customers.

*ACCC is a trademark of CTC Cable Corporation

For further information visit our website: Investor Relations Contact: James Carswell, +1-949-428-8500.

This press release may contain forward-looking statements, as defined in the Securities Reform Act of 1995 (the "Reform Act"). The safe harbor for forward-looking statements provided to companies by the Reform Act does not apply to Composite Technology Corporation (the "Company"). However, actual events or results may differ from the Company's expectations on a negative or positive basis and are subject to a number of known and unknown risks and uncertainties including, but not limited to, competition with larger companies, development of and demand for a new technology, risks associated with a startup company, the ability of the company to convert quotations and framework agreements into firm orders, our customers' fulfillment of payment obligations under the respective supply agreement, our ability to deliver reliable turbines on a timely basis, general economic conditions, the availability of funds for capital expenditure by customers, availability of timely financing, cash flow, securing sufficient quantities of essential raw materials, timely delivery by suppliers, ability to produce the turbines and acquire their components, ability to maintain quality control, collection-related and currency risks from international transactions, the successful outcome of joint venture negotiations, or the Company's ability to manage growth. Other risk factors attributable to the Company's business may affect the actual results achieved by the Company, including those that are found in the Company's Annual Report filed with the SEC on Form 10-K for fiscal year ended September 30, 2007 and subsequent Quarterly Reports on Form 10-Q and subsequent Current Reports filed on Form 8-K that will be included with or prior to the filing of the Company's next Quarterly or Annual Report.

Contact Information

  • Investor Relations Contact:
    James Carswell