ALSTOM sells its Transmission and Distribution activities to Areva for 950 million euros

ALSTOM has reached an agreement to sell its Transmission
& Distribution activities to Areva, for an entreprise value
of 950 million, which is another key step in its
continuing disposal programme.

The Transmission & Distribution Sector sells products,
systems and services for the medium and high voltage markets.
The Sectors Power Conversion activities are not part of
the transaction and will remain within ALSTOM.

In the last financial year, ALSTOMs Transmission
& Distribution Sector (excluding the Power Conversion
activities) generated sales of 3.2 billion, accounting
for 15% of ALSTOMs revenues. It employs 25,000 people in
70 countries.

Commenting on the planned sale, Patrick Kron, Chairman and
CEO of ALSTOM said: This transaction constitutes another
key step in implementing the action plan I launched on 12 March
2003. I also believe that T&D has a bright future in the
Areva Group.

The transaction is subject to normal closing conditions,
including regulatory clearances and the completion of employee
consultations. Closing is expected in January 2004.

Press enquiries:

S. Gagneraud/G. Tourvieille 

Tel. +33 1 47 55 25 87/23 15

internet.press@chq.alstom.com

Investor relations:

E. Chatelain

Tel.+33 1 47 55 25 33

investor.relations@chq.alstom.com

M: Communications:

L. Tingström

Tel. +44 789 906 6995

tingstrom@mcomgroup.com