Second Sheraton to Receive Innovative Technology

A PPL Corporation subsidiary has completed the installation of a clean,
reliable Direct FuelCell(R) power plant for Starwood Hotels & Resorts
Worldwide Inc. , one of the world`s largest hotel and leisure companies.

At a dedication ceremony today at the hotel, PPL`s distributed generation
and energy services subsidiary said it has completed the development of a
250-kilowatt fuel cell power plant at the Sheraton Parsippany Hotel in
Parsippany, N.J.

The Direct Fuel Cell (DFC(R)) power plant, similar to the one installed at
the Sheraton Edison in Edison, N.J., provides about 25 percent of the
hotel`s electricity and hot water. PPL will own, operate and maintain the
DFC power plant.
The hotel projects in both Parsippany and Edison are part of a master
agreement that PPL and Starwood signed that could eventually lead to PPL
installing DFC power plants at other Starwood properties.

FuelCell Energy of Danbury, Conn., manufactured the hotel`s fuel cell
power plant, which uses natural gas that will be supplied by New Jersey
Natural Gas. H.T. Lyons, a PPL mechanical contracting subsidiary based in
Allentown, Pa., was responsible for its installation.

The New Jersey Clean Energy Program and the state of New Jersey have taken
a leadership position by providing funding to encourage the use of clean
and efficient energy technologies, including the fuel cells installed in
Parsippany and Edison.

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“PPL is proud to supply Starwood with an efficient, reliable on-site DFC
power plant,” said Michael E. Kroboth, president of PPL Energy Services
Holdings. “Today`s ceremony in Parsippany marks PPL`s fourth customer
installation of DFC power plants in the past six months.”

PPL also has installed a fuel cell at the Coast Guard Station in Cape Cod,
Mass., and has installed two fuel cells at the Zoot Enterprises business
park in Bozeman, Mont.

“Until recently, fuel cell energy technology was not available
commercially, and its practical use was very limited,” Kroboth added.
“However, fuel cells are now part of a growing range of environmentally
friendly energy solutions that PPL is providing to our customers.”

Fuel cells generate electricity with no combustion. They are, in effect,
like large, continuously operating batteries that generate electricity as
long as a source of hydrogen, such as natural gas, is supplied. Since the
gas is not burned, there is no pollution commonly associated with the
combustion of fossil fuels. Because hydrogen is generated directly within
the fuel cell module from readily available fuels such as natural gas and
wastewater treatment gas, FuelCell Energy power plants are ready today and
do not require the creation of a hydrogen infrastructure.

“We are pleased to see that our first hotel application of fuel cell
system technology has been brought to successful closure with the
installation of both the Sheraton Parsippany and Sheraton Edison energy
fuel cell units,” said David King, vice president-Staff Operations, North
America, for Starwood. “It has been a rewarding experience working with
both PPL and FCE on this important initiative, and we look forward to
working with them again on future energy fuel cell projects.”

“We are delighted to be working with PPL and Starwood, leaders in their
commitment to implementing innovative and reliable energy solutions,” said
Herbert T. Nock, senior vice president of marketing and sales for FuelCell
Energy, Inc. “Recent global blackouts revealed the vulnerability of
constrained electric grid infrastructures and this dedication demonstrates
that our DFC power plants are clean, efficient distributed generation
solutions that are commercially ready today.”

Demonstrating its commitment to balance the need for affordable power with
environmental concerns, PPL has other fuel cell and renewable energy
projects in various stages of development with a variety of customers:

—Ocean County College in Toms River, N.J., will install a 250-kilowatt
fuel cell later this year to provide heat and electricity to several
buildings on the campus.—PPL has received grant approval from the New
York State Energy Research and Development Authority for a fuel cell
project at Starwood`s Sheraton New York Hotel & Towers in midtown
Manhattan, the flagship of the Sheraton brand.—PPL will be installing
and operating a landfill gas-to-electricity plant at a landfill in
southern New Jersey.—PPL has received grant approval for a large
photovoltaic project in southern New Jersey.

Starwood Hotels & Resorts Worldwide Inc. is one of the leading hotel and
leisure companies in the world, with more than 740 properties in more than
80 countries and 105,000 employees at its owned and managed properties.
With internationally renowned brands, Starwood is a fully integrated
owner, operator and franchisor of hotels and resorts including St. Regis,
The Luxury Collection, Sheraton, Westin, Four Points by Sheraton and W
brands, as well as Starwood Vacation Ownership Inc., one of the premier
developers and operators of high quality vacation interval ownership
resorts.
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