& ABBGY ABB Wins $23 Million Contract From TVA For Work At Raccoon Mountain Facility.

NORWALK, Conn.--(BUSINESS WIRE)--March 2, 1999--ABB has won a contract worth approximately $23 million from Tennessee Valley Authority (TVA) for the electrical rehabilitation of a pumped storage facility.

ABB Power Generation Inc. - Hydro of Littleton, Colorado, a U.S. unit of ABB, will rehabilitate the four existing generator motors at TVA's Raccoon Mountain facility in Chattanooga, Tenn. The project calls for increasing the output of each unit by 12 percent to a new rating of 476 MVA each. At the new output level the Raccoon Mountain generator-motors will be among the largest pumped storage units in the United States on a per unit output basis. The work is expected to be completed by April 2004.

ABB, with U.S. headquarters in Norwalk, Conn., serves customers in power generation, transmission, and distribution; automation; oil, gas, and petrochemicals; industrial products and contracting; and financial services. ABB and its affiliates had U.S. orders of approximately $6.5 billion in 1997 and employ about 22,000 at manufacturing and other facilities in 41 states (http://www.abb.com/usa).

Worldwide, ABB Group reported orders of $31 billion in 1998 and employed about 200,000 people in more than 100 countries (http://www.abb.com/). In the United States, ADRs for shares in ABB

Group's parent companies, ABB AB and ABB AG, are traded on the NASDAQ exchange (ABBBY) and in the OTC market (ABBGY), respectively.(END)