Capstone Secures 1MW Order for Global Leader in Contract Manufacturing

Capstone Turbine Corporation (www.capstoneturbine.com) (Nasdaq: CPST), the world’s leading clean technology manufacturer of microturbine energy systems, announced today that it secured an order for a C1000 Signature Series microturbine that will be used by a global leader in contract manufacturing with facilities worldwide.

Secured by Capstone’s distributor in Mexico, DTC Ecoenergía, the 1 megawatt (MW) microturbine will be used to help reduce cost and provide energy reliability in order to keep up with increased demand at the end-user’s newly expanded facility outside of Mexico’s second largest metropolitan city. The new facility will expand on existing design, manufacturing and sourcing for numerous Fortune 100 companies.

The low emission microturbines will operate on high-pressure natural gas and will utilize Capstone’s seamless transfer technology, which allows the microturbine to switch from grid connected to stand-alone and back again with no noticeable interruption to the customer facility. DTC will also provide an absorption chiller to improve the overall plant efficiency.

“Power reliability, rising electrical costs, and broadening environmental regulations are all increasing in importance for today’s facility managers. A single disruption in a manufacturing plant can have long-term impact when considering lost inventory, loss of worker productivity and potential loss of customer confidence,” said Darren Jamison, President and Chief Executive Officer of Capstone.

Reducing energy costs while maintaining reliable power is important to maintaining an edge in today’s competitive industrial landscape. As highlighted in 2016 report by the U.S. Energy Information Administration (EIA), the industrial sector worldwide consumes 54% of the world’s total delivered energy.

“In recent months we have seen an increase in manufacturers inquiring and harnessing the benefit of our turbine technology to help meet the large power demands required for these facilities. At any given moment, these facilities can be well over 500,000 sq. ft. and have thousands of units in production which means that loss of power could be extremely costly to a manufacturer in lost product and lost profits,” said Jim Crouse, Executive Vice President of Sales and Marketing of Capstone.

About Capstone Turbine Corporation

Capstone Turbine Corporation (www.capstoneturbine.com) (Nasdaq: CPST) is the world’s leading producer of low-emission microturbine systems and was the first to market commercially viable microturbine energy products. Capstone has shipped over 9,000 Capstone Microturbine systems to customers worldwide. These award-winning systems have logged millions of documented runtime operating hours. Capstone is a member of the U.S. Environmental Protection Agency’s Combined Heat and Power Partnership, which is committed to improving the efficiency of the nation's energy infrastructure and reducing emissions of pollutants and greenhouse gases. A DQS-Certified ISO 9001:2015 and ISO 14001:2015 certified company, Capstone is headquartered in the Los Angeles area with sales and/or service centers in the United States, Latin America, Europe, Middle East and Asia.

For more information about the company, please visit www.capstoneturbine.com. Follow Capstone Turbine on Twitter, LinkedIn and YouTube.

Forward-Looking Statements

This press release contains “forward-looking statements,” as that term is used in the federal securities laws. Forward-looking statements may be identified by words such as “expects,” “believes,” “objective,” “intend,” “targeted,” “plan” and similar phrases. These forward-looking statements are subject to numerous assumptions, risks and uncertainties described in Capstone’s filings with the Securities and Exchange Commission that may cause Capstone’s actual results to be materially different from any future results expressed or implied in such statements. Capstone cautions readers not to place undue reliance on these forward-looking statements, which speak only as of the date of this release. Capstone undertakes no obligation, and specifically disclaims any obligation, to release any revisions to any forward-looking statements to reflect events or circumstances after the date of this release or to reflect the occurrence of unanticipated events.

“Capstone” and “Capstone Microturbine” are registered trademarks of Capstone Turbine Corporation. All other trademarks mentioned are the property of their respective owners.

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