Vestas Signs Deal To Meet Ontario’s Local-Content Requirements for Wind Farm

Automodular Corporation ("Automodular") reports that it has signed a definitive agreement with Vestas Nacelles A/S to sub-assemble certain wind turbines for use in Ontario wind energy projects under the province of Ontario’s feed-in- tariff (FIT) program. Vestas Nacelles A/S is a subsidiary of the publicly traded Danish company Vestas Wind Systems A/S, a global leader in the wind power industry.

Automodular has secured a facility in Brantford, and, at the peak of the contract, will engage approximately 40 personnel in relation to the contracted work. Work is already underway on the contract which is for a fixed number of units to be assembled over an estimated period of one year. The contract would represent approximately 35% of the Company’s gross revenues measured against the Company’s gross revenues for the twelve-month period ended September 30, 2011. Approximately 80% of the Company’s revenue under the contract relate to the purchase of materials as directed by the customer.

Automodular Corporation is a supplier of sub-assembly, sequencing and transportation services to the automotive industry – Ford’s Oakville Assembly Plant and the renewable energy industry – Vestas Nacelles A/S. The Company has three operating facilities and employs approximately 525 people.