Moog

LTI REENERGY GMBH WIND ENERGY UNIT RECEIVES INVESTMENT FROM MOOG

Unna, Germany/East Aurora, N.Y. USA, July 3, 2008 – Moog Inc. (NYSE: MOG.A and MOG.B) has made an investment resulting in 40 percent ownership of the wind energy business of privately-held LTi REEnergy GmbH of Unna, Germany. Together the two companies will further strengthen LTi REEnergy's leading market position in the field of blade pitch control systems. While Moog offers its own longstanding expertise in a range of electro-hydraulic technologies, LTi REEnergy is one of the leading providers of electro-mechanical pitch control systems. With this investment, Moog arguably becomes the world’s only supplier of both electro-mechanical and electro-hydraulic blade pitch control for the wind energy market.

The blade pitch determines the rotor speed and thereby the performance of wind turbines. “Pitch control systems hold the key to maximizing and protecting a wind turbine”, said Harald Seiffer, European General Manager of Moog’s Industrial Group. “We believe we can take our experience with creating motion control systems for the aerospace and manufacturing industries and our high quality standards to make a sound contribution to our new partnership."

The operator of a wind turbine has to maintain the inclination angle of a turbine’s blades in two ways. First, even when the wind isn’t strong enough, the turbine needs to accelerate to reach a certain speed. Second, when wind conditions are strong, the turbine needs a failsafe to put the blades at an angle where the load is reduced. Over the last few years, the LTi REEnergy GmbH systems and components have been incorporated in more than 7,500 installed wind turbines.

The LTi REEnergy wind business invested in by Moog offers complete pitch systems including their robust servocontroller offered under the brand name PITCHmaster, motors, batteries, control systems, and software for remote diagnostics and back-up power. Most of the blade pitch control components reside in the hub of the wind turbine’s prop, where temperature and motion can be extreme. If, for example, the wind turbine loses electrical power, then the blade pitch control taps its battery power to gauge speed, adjust the turbine’s blades and put the prop into a safe operating mode that is designed to protect a wind turbine from damage.

“LTi REEnergy’s blade pitch control is also special because of its ability to handle harsh weather conditions”, said Sherif El Henaoui, Moog’s Marketing Manager, Europe. “Many blade pitch controls can fail in this regard, but LTi REEnergy’s wind energy PITCHmaster is proven to withstand temperatures ranging from -30 C to 70 C. As the wind energy market grows, we believe people will call for the security and ruggedness that LTi REEnergy's pitch control systems offer.”

Dr. Wolfgang Lust, LTi REEnergy GmbH says: "LTi REEnergy and Moog, as two fast growing companies, are actually an excellent strategic match to join together. Moog's investment in our company means that we will be able to strengthen our leading position on the international market and optimally handle our fast-paced growth."

Recent market research by Intercedent Asia showed that the portion of new wind turbines using pitch control (vs. stall control) will grow to nearly 100 percent in the future. Intercedent Asia’s research also shows that the number of wind turbines with pitch control in 2007 was approximately 18,000. This includes both electro-hydraulic and electro-mechanical systems.

“On a worldwide basis wind power capacity is expected to grow in excess of 30 percent annually, which is an excellent proxy for the market for pitch control systems“, said Sal Spada, a research director for ARC Advisory Group. “Additionally, the wind power market has matured technically, and the emphasis has shifted on improving performance and safety of the turbines."

“Moog’s investment in LTi REEnergy strikes a chord in this regard. Moog’s culture of providing performance-enhancing engineered solutions along with a global support infrastructure and supply chain fits squarely with the needs of the wind power industry and LTi REEnergy”, added Spada. “Moog’s access to both capital and personnel with a long history of creating power and data transmission products will further complement this business as customers seek assistance in optimizing the next generation of wind turbines.”

Moog is among the market leaders in slip rings, which make an electrical connection between the rotating and fixed parts of a wind turbine via high-tech brushes. For situations calling for high-speed data transfer and reliable transmission, Moog has designed fiber optic rotary joints, which make a connection via light in much the same way a slip ring creates an electrical connection. These slip rings and joints make the wind turbine and its inner workings immune to stormy weather conditions as well.

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Notes for editors


About Moog

Moog’s Industrial Group designs and manufacturers high performance motion control solutions combining electric, hydraulic, and hybrid technologies with expert consultative support in a range of applications including plastics, metal forming, power generation, test and simulation. We help performance-driven companies design and develop their next-generation machines. With 33 operations worldwide and sales of USD 436 million (2007), Moog Industrial is part of Moog Inc. (NYSE: MOG.A and MOG.B), which achieved in 2007 net sales of USD 1.558 billion.

About LTi REEnergy GmbH

LTi REEnergy GmbH, based in Unna, Germany, is part of the LTi group of companies with approximately. 900 employees worldwide. Thanks to their long-standing expertise, LTi REEnergy is an expert in electric drive systems for wind turbines and is a leading provider in this segment.

The medium-sized company with its headquarters in Unna, Germany, has been developing and marketing electric PITCH systems and components for wind energy and ocean current energy plants for more than 10 years. The company has a centralized prototyping division at the Unna location as well as various production sites worldwide. With their broad sales and service network in Europe and Asia, they serve both German and international customers.

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Dr. Sherif El-Henaoui
Moog

+49 (0) 7031 622 0

selhenaoui@​moog.com

Peter Ibes
EMG

+31 164 317 012

pibes@​emg.nl

 

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