AMSC Provides Litigation Update

AMSC Provides Litigation Update

DEVENS, Mass., Dec. 17, 2012 (GLOBE NEWSWIRE) -- AMSC (Nasdaq:AMSC), a global
solutions provider serving wind and grid leaders, today announced that it
expects China's Supreme People's Court to hold an additional hearing regarding
AMSC's copyright infringement case against Sinovel Wind Group Co., Ltd
(Sinovel). The date for this hearing has yet to be determined.

Among AMSC's cases against Sinovel is a civil action for software copyright
infringement that was filed with the Beijing No. 1 Intermediate People's
Court. The case alleges Sinovel's unauthorized copying and use of portions of
AMSC's wind turbine control software developed for Sinovel's 1.5 MW wind
turbines and the binary code, or upper layer, of AMSC's software for its
PM3000 power converters. In this case, AMSC is seeking a cease and desist
order and damages totaling $6 million.

In November 2011, Sinovel filed a motion to remove this case from the Beijing
No. 1 Intermediate People's Court and transfer the matter to the Beijing
Arbitration Commission. The court denied Sinovel's motion to remove the case.
Sinovel filed an appeal of that decision to the Beijing Higher People's Court,
and the Beijing Higher People's Court supported the Beijing No. 1 Intermediate
People's Court's ruling and rejected Sinovel's appeal. Sinovel then filed an
appeal of that decision with China's Supreme People's Court. A hearing
regarding this appeal was held at the Chinese Supreme People's Court on
October 26, 2012. The Supreme People's Court has now ruled that it will hold a
hearing to review the jurisdictional matter and that the lower court
proceedings shall be stayed pending the Supreme Court outcome.

This is one of four legal cases that AMSC brought against Sinovel in late 2011
regarding Sinovel's contractual breaches and AMSC's discovery of intellectual
property theft by Sinovel.

About AMSC (Nasdaq:AMSC)

AMSC generates the ideas, technologies and solutions that meet the world's
demand for smarter, cleaner ... better energy. Through its Windtec™ Solutions,
AMSC provides wind turbine electronic controls and systems, designs and
engineering services that reduce the cost of wind energy. Through its Gridtec™
Solutions, AMSC provides the engineering planning services and advanced grid
systems that optimize network reliability, efficiency and performance. The
company's solutions are now powering gigawatts of renewable energy globally
and enhancing the performance and reliability of power networks in more than a
dozen countries. Founded in 1987, AMSC is headquartered near Boston,
Massachusetts with operations in Asia, Australia, Europe and North America.
For more information, please visit http://www.amsc.com.

The AMSC logo is available at
http://www.globenewswire.com/newsroom/prs/?pkgid=11339

AMSC, Windtec and Gridtec are trademarks or registered trademarks of American
Superconductor Corporation. All other brand names, product names, trademarks
or service marks belong to their respective holders.

Any statements in this release about future expectations, plans and prospects
for the company, including without limitation expectations regarding our
pending proceedings with Sinovel and other statements containing the words
"believes," "anticipates," "plans," "expects," "will" and similar expressions,
constitute forward-looking statements within the meaning of the Private
Securities Litigation Reform Act of 1995.Such forward-looking statements
represent management's current expectations and are inherently
uncertain.There are a number of important factors that could materially
impact the value of our common stock or cause actual results to differ
materially from those indicated by such forward-looking statements. Such
factors include: Our success in addressing the wind energy market is dependent
on the manufacturers that license our designs; we may not realize all of the
sales expected from our backlog of orders and contracts; our business and
operations would be adversely impacted in the event of a failure or security
breach of our information technology infrastructure; our success is dependent
upon attracting and retaining qualified personnel and our inability to do so
could significantly damage our business and prospects; we rely upon
third-party suppliers for the components and subassemblies of many of our Wind
and Grid products, making us vulnerable to supply shortages and price
fluctuations, which could harm our business; many of our revenue opportunities
are dependent upon subcontractors and other business collaborators; if we fail
to implement our business strategy successfully, our financial performance
could be harmed; problems with product quality or product performance may
cause us to incur warranty expenses and may damage our market reputation and
prevent us from achieving increased sales and market share; our contracts with
the United States government are subject to audit, modification or termination
by the United States government and include certain other provisions in favor
of the government; the continued funding of such contracts remains subject to
annual congressional appropriation which, if not approved, could reduce our
revenue and lower or eliminate our profit; we may acquire additional
complementary businesses or technologies, which may require us to incur
substantial costs for which we may never realize the anticipated benefits;
many of our customers outside of the United States are, either directly or
indirectly, related to governmental entities, and we could be adversely
affected by violations of the United States Foreign Corrupt Practices Act and
similar worldwide anti-bribery laws outside the United States; we have limited
experience in marketing and selling our superconductor products and
system-level solutions, and our failure to effectively market and sell our
products and solutions could lower our revenue and cash flow; we have a
history of operating losses, and we may incur additional losses in the future;
our operating results may fluctuate significantly from quarter to quarter and
may fall below expectations in any particular fiscal quarter; we may require
additional funding in the future and may be unable to raise capital when
needed; our new debt obligations include certain covenants and other events of
default. Should we not comply with the covenants or incur an event of default,
we may be required to repay our debt obligations in cash, which could have an
adverse effect on our liquidity; we have recorded a liability for adverse
purchase commitments with certain of our vendors; should we be required to
settle these liabilities in cash, our liquidity could be adversely affected;
if we fail to maintain proper and effective internal controls over financial
reporting, our ability to produce accurate and timely financial statements
could be impaired and may lead investors and other users to lose confidence in
our financial data; we may be required to issue performance bonds or provide
letters of credit, which restricts our ability to access any cash used as
collateral for the bonds or letters of credit; changes in exchange rates could
adversely affect our results from operations; growth of the wind energy market
depends largely on the availability and size of government subsidies and
economic incentives; we depend on sales to customers in China, and global
conditions could negatively affect our operating results or limit our ability
to expand our operations outside of China; changes in China's political,
social, regulatory and economic environment may affect our financial
performance; our products face intense competition, which could limit our
ability to acquire or retain customers; our international operations are
subject to risks that we do not face in the United States, which could have an
adverse effect on our operating results; adverse changes in domestic and
global economic conditions could adversely affect our operating results; we
may be unable to adequately prevent disclosure of trade secrets and other
proprietary information; our patents may not provide meaningful protection for
our technology, which could result in us losing some or all of our market
position; the commercial uses of superconductor products are limited today,
and a widespread commercial market for our products may not develop; there are
a number of technological challenges that must be successfully addressed
before our superconductor products can gain widespread commercial acceptance,
and our inability to address such technological challenges could adversely
affect our ability to acquire customers for our products; we have not
manufactured our Amperium wire in commercial quantities, and a failure to
manufacture our Amperium wire in commercial quantities at acceptable cost and
quality levels would substantially limit our future revenue and profit
potential; third parties have or may acquire patents that cover the materials,
processes and technologies we use or may use in the future to manufacture our
Amperium products, and our success depends on our ability to license such
patents or other proprietary rights; our technology and products could
infringe intellectual property rights of others, which may require costly
litigation and, if we are not successful, could cause us to pay substantial
damages and disrupt our business; we have filed a demand for arbitration and
other lawsuits against our former largest customer, Sinovel, regarding amounts
we contend are overdue. We cannot be certain as to the outcome of these
proceedings; we have been named as a party to purported stockholder class
actions and stockholder derivative complaints, and we may be named in
additional litigation, all of which will require significant management time
and attention, result in significant legal expenses and may result in an
unfavorable outcome, which could have a material adverse effect on our
business, operating results and financial condition; our 7% convertible note
contains warrants and provisions that could limit our ability to repay the
note in shares of common stock and should the note be repaid in stock,
shareholders could experience significant dilution; our common stock has
experienced, and may continue to experience, significant market price and
volume fluctuations, which may prevent our stockholders from selling our
common stock at a profit and could lead to costly litigation against us that
could divert our management's attention; and new regulations related to
conflict-free minerals may force us to incur additional expenses. These and
the important factors discussed under the caption "Risk Factors" in Part II.
Item 1A and Part 1. Item 1A of our Form 10-K/A for the fiscal year ended March
31, 2012, among others, could cause actual results to differ materially from
those indicated by forward-looking statements made herein and presented
elsewhere by management from time to time. Any such forward-looking statements
represent management's estimates as of the date of this press release. While
we may elect to update such forward-looking statements at some point in the
future, we disclaim any obligation to do so, even if subsequent events cause
our views to change. These forward-looking statements should not be relied
upon as representing our views as of any date subsequent to the date of this
press release.

CONTACT: AMSC
         Jason Fredette
         Phone: 978-842-3177
         Email: jason.fredette@amsc.com

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