In a release on March 17, the Company announced full-year revenues of $217.3 million, up from revenues of $29.8 million in 2007. For the 2008 fourth quarter, revenues grew to $77.6 million, compared to $21.8 million in revenues for the same period in 2007.

Broadwind said the increased revenues resulted from a combination of acquisitions and strong organic growth at its Tower Tech Systems, Inc. wind tower manufacturing business and the Brad Foote Gear Works, Inc. wind gear production facilities. With respect to acquisitions, the Company benefited in 2008 from a full year of revenues at its Brad Foote Gear Works subsidiary, the January 2008 acquisition of Energy Maintenance Service, LLC (EMS), its wind energy operations, maintenance, and services unit, and the June 2008 acquisition of Badger Transport, Inc., a provider of logistics and transportation to the wind energy industry.

On a pro-forma basis (assuming the acquisitions of Brad Foote Gear Works, EMS and Badger Transport had occurred as of January 1, 2007), Broadwind's revenues grew $98 million in 2008 versus the prior-year period, driven primarily by higher production volumes of wind towers, as well as higher gear production volumes. Revenues on a pro forma basis were $223 million in 2008, up from $125 million in 2007.

"In 2008, we executed on our goal of becoming the most diverse component and service supplier to the wind industry through strategic acquisitions and investments in facilities and equipment," said Broadwind CEO J. Cameron Drecoll. "We have a broad portfolio of operations, technology and talent that required significant investment and integration costs during the year, but which also positions us as a long-term leader in the dynamic wind energy sector."

Broadwind reported a net loss of $25.3 million, or $0.28 per share, in 2008, compared with a net loss of $3.4 million, or $0.07 per share, in 2007. For the fourth quarter of 2008 the Company reported a net loss of $12.4 million, or $0.14 per share, compared to a net loss of $4.7 million or $0.07 per share in the fourth quarter of 2007. The 2008 net loss includes $11.2 million in non- cash amortization expense associated with the acquisitions made over the past two fiscal years, as well as a $2.4 million one-time non- cash charge for impairment of goodwill at the Company's R.B.A., Inc. business unit. High costs related to the integration of acquisitions, increased expenses due to the ramp up of new production and facilities, and the addition of key management depth and added personnel throughout the subsidiaries contributed to the loss in the fourth quarter and full year.

Fiscal year results were also impacted by $84 million in capital expenditures reflecting the commitment of significant resources to Broadwind's existing and newly acquired facilities and subsidiaries. These expenditures consisted of construction of Tower Tech's new facility in Abilene, Texas, the ongoing construction of its tower manufacturing facility in Brandon, South Dakota, as well as the build-out of additional facility capacity and gearing equipment at Brad Foote. Further expenditures included new transportation equipment purchases at Badger Transport, increasing heavy haul capacity by more than 30 percent.

"While the investments made throughout the course of the year impact our financial results in the short term, they were necessary to put us in a position to capitalize on forecasted growth in the North American wind energy sector," said Drecoll. "At the same time, we are not immune to the challenges of this unprecedented global economic slowdown, which has led us to optimize our workforce and facility utilization to reduce operating costs over the near term."

The Company generated Earnings Before Interest, Taxes, Depreciation, Amortization and Stock-Based Compensation (EBITDAS) of $4.3 million in 2008, versus EBITDAS of $103,000 in 2007. For a summary of financial results and an explanation and reconciliation of EBITDAS to net income, please see the table below.

Naperville, Illinois-based Broadwind Energy, Inc., owns, supports, grows and strategically positions companies that manufacture, install and maintain components for the energy industry, with a primary emphasis on the wind energy sector.

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