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Landis+Gyr, Arizona Utility SRP Launch 52M USD Technology Roll Out to Expand Adaptive Energy Program

ATLANTA, Ga. – Sept. 9, 2008 – Landis+Gyr, the global leader in energy management offering utilities next generation “smart grid” solutions, today announced a three-year advanced metering contract with Arizona utility Salt River Project (SRP). The contract, valued at 52 million USD, expands SRP’s M-Power prepay program with the delivery of 300,000 Landis+Gyr AMPY Pay-Smart™ meters and related proprietary communications solutions. SRP ranks as the third-largest public power utility in the United States.

Landis+Gyr is dedicated to giving utilities the power to create tailored services and flexible business models to meet the demands of shifting consumer behavior and unpredictable market conditions. AMPY Pay-Smart meters represent a global trend toward Adaptive Energy Models, which promise to transform energy from a commodity to a personalized service

At the core of Landis+Gyr’s AMPY Pay-Smart solution is adaptive control technology, which enables utilities to create or modify service programs to meet usage and payment needs of individual consumers – without the need for additional technology. The AMPY Pay-Smart metering system can be configured to operate in one of four different modes –credit, credit with in-home display, wireless prepayment or critical peak pricing/demand response.In his new role, Mr. March has overall responsibility for the development and implementation of Landis+Gyr’s global corporate communications strategy. Mr. March reports to Cameron O’Reilly, CEO of Landis+Gyr Holdings.

“During the past several years, our work with SRP has clearly demonstrated that progressive utilities are keenly committed to finding new and inventive ways to work with consumers on an individual basis and, ultimately, build better customer relationships,” said Landis+Gyr Ampy Solutions CEO Jonathan Elmer. “The flexibility we build into our solutions enables this one-to-one approach when utilities define and manage the delivery of energy. Together, Landis+Gyr and SRP share a vision of easily managed and adaptable business models which support consumer choice and empowerment, and we are proud that SRP has chosen to expand their relationship with us as their solutions partner.”

Landis+Gyr AMPY Pay-Smart meters deliver real-time information and bidirectional intelligence to both the utility and the customer resulting in lower service costs. Broadcast messages and pricing signals also can be delivered efficiently to every customer on the system through the Landis+Gyr EcoMeter™ In-Home Display.

“Real-time information in the hands of a consumer is the key to a positive behavior change,” said SRP Customer Service Executive Mike Lowe. “When the consumer can, in the moment, adjust their usage by turning on or off appliances and other devices, they get an immediate understanding of how their behavior impacts their energy costs. Furthermore, it has always been our goal to work with consumers as they adjust to the tools and information they now have to optimize communications and other program elements so it works best for each individual. Landis+Gyr delivers a greater ability to interact with our customers the way we want to.”

SRP’s flexible prepayment program, M-Power, was originally built on the AMPY Pay-As-You-Go™ system. An in-home display plugged into an ordinary electrical socket communicates in real-time directly with the electric meter, tracking how much energy an M-Power customer is using in simple dollars and cents and signaling when it's time to make a new purchase. This real-time information in the hands of consumers provides them with more control and allows them to make more informed decisions about their individual energy use. By expanding the M-Power program with AMPY Pay-Smart technology, SRP bring consumers additional payment options and SRP can design additional service programs that meet individual consumer needs.

SRP M-Power customers, on average, experience an annual reduction in household energy consumption of about 12 percent, or 1,750 kilowatt-hours (kWh). More than 59,000 SRP customers currently use M-Power, and another 10,000 customers per year are expected to be added during each of the next five years. Eighty-four percent of M-Power customers report being very satisfied with the program and more than 90 percent believe they use energy more wisely as a result of participating in the program.

Said Elmer: “When consumers are empowered and in control the result is better consumer behavior, which we have found also translates into higher customer satisfaction. Working with SRP enabled us to meet the expectations of a company that truly is committed to serving its customers to the best of its ability. The result has been a program-oriented solution and experience that we can bring to other service providers. Such flexibility will transform the customer relationship and help consumers pay in-full and on-time and ensure reliable and predictable revenue for utilities.”

About Landis+Gyr

Landis+Gyr is the leading provider of integrated energy management solutions tailored to energy company needs. With a global presence and a reputation for quality and innovation, Landis+Gyr is unique in its ability to deliver true end-to-end advanced metering solutions. Today, the Company offers the broadest portfolio of products and services in the electricity metering industry, and is paving the way for the next generation of smart grid. With annualized sales of more than US$1.25 billion, Landis+Gyr operates in 30 countries across five continents, and employs over 5,000 people with the sole mission of helping the world manage energy better. For more information about Landis+Gyr, please visit the corporate website at www.landisgyr.com.

About Salt River Project (SRP)

SRP is the third-largest public power utility in the nation, serving more than 935,000 electric customers in the greater Phoenix metropolitan area. For more information visit www.srpnet.com.

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