Two Projects Using Capstone Turbine Combined Heat and Power Products in Pennsylvania Receive $1.6 Million in American Recovery and Reinvestment Act Funding

CHATSWORTH, Calif., Dec. 7, 2009 (GLOBE NEWSWIRE) -- Capstone Turbine Corporation (www.capstoneturbine.com) (Nasdaq:CPST), the world's leading clean technology manufacturer of microturbine energy systems, today announced that two of the nine projects in Pennsylvania selected for $12 million in American Recovery and Reinvestment Act Funding were submitted using Capstone technology. The two projects will receive a total of $1.6 million of the total $12 million awarded.

Pennsylvania Governor Edward G. Rendell announced the projects will receive funding through Pennsylvania's Green Energy Works! Grant program. "We must explore all options and make the best possible use of our available resources to meet our future energy needs," Governor Rendell said. "These large-scale combined heat and power projects maximize those resources by taking a waste formed during one process and putting it to good use in another. This enables us to generate the best possible return on our investments," added Rendell.

The two projects were developed by E-Finity Distributed Generation (www.e-finity.com), Capstone's distributor for the Mid-Atlantic region that has provided energy services to electrical contractors, distributors, utilities, and government end users since 1991.

Headquartered in Wayne, Pennsylvania, E-Finity will supply, integrate and maintain the Capstone C1000 to be located at Mount Joy Wire Corp. in Mount Joy, Pennsylvania. The wire manufacturer, which received $1.181 million for the project, will use the natural gas-fueled C1000 in a combined heat and power application that will provide 1 megawatt of electricity to the facility. Waste heat produced by the turbine will be used to heat water onsite.

E-Finity also will supply, integrate and maintain the second CHP project at Philadelphia Gas Works headquarters in downtown Philadelphia. Philadelphia Gas Works received $465,000 for the installation of a Capstone C200 natural gas turbine the company will use to educate its customers about the benefits of CHP. In addition, the Green Energy Works! grant will fund installation of a 60-ton absorption chiller at the site. Waste heat energy from the Capstone C200 will heat water that is then run through the absorption chiller to create air conditioning for the facility.

E-Finity recently commissioned the first Capstone microturbines in Philadelphia at the Four Seasons Hotel located at One Logan Square. E-Finity also recently completed projects at The Bridge Business Center, Salem College and a compressor station for Dominion Transmission.

"E-Finity has done a tremendous job in working with potential clients on overall energy savings and energy efficiency projects utilizing Capstone's clean and green technology," said Darren Jamison, Capstone's President and Chief Executive Officer. "E-Finity has been very active in helping customers successfully participate in not only the American Recovery and Investment Act but also in the New Jersey Clean Energy Program, the PSE&G Standard Offer, and the Pennsylvania Re-Investment Fund, among others," added Jamison.

"E-Finity's team members pride themselves on our years of contribution to the development of enterprise level applications," said Jeff Beiter, Managing Partner of E-Finity. "E-Finity's Enterprise Division works with utilities, ESCOs and end users to develop customized enterprise solutions that add value to our offerings and services," added Beiter.

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 Turbine has shipped over 5,000 Capstone MicroTurbine(R) systems to customers worldwide. These award-winning systems have logged millions of documented runtime operating hours. Capstone Turbine 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 UL-Certified ISO 9001:2000 and ISO 14001:2004 certified company; Capstone is headquartered in the Los Angeles area with sales and/or service centers in the New York metro area, Mexico City, Nottingham, Shanghai, Singapore and Tokyo.

The Capstone Turbine Corporation logo is available at https://www.globenewswire.com/newsroom/prs/?pkgid=6212

This press release contains "forward-looking statements," as that term is used in the federal securities laws, about E-Finity's success as a distributor for our products and the receipt of public funding for projects using our products. Forward-looking statements may be identified by words such as "expects," "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 Turbine Corporation" and "Capstone MicroTurbine" are registered trademarks of Capstone Turbine Corporation. All other trademarks mentioned are the property of their respective owners.

CONTACT:  Capstone Turbine Corporation
          Investor and investment media inquiries:
          818-407-3628
          ir@capstoneturbine.com

Released December 7, 2009