Capstone Introduces Long-Term Green Energy Rental Program

CHATSWORTH, Calif.-- Capstone Turbine Corporation (www.microturbine.com) (NASDAQ:CPST), the world's leading clean technology manufacturer of microturbine energy systems, today announced that it has rolled out a long-term factory rental program and received initial orders for 20 C65's for two long-term rentals.

The Capstone factory direct rental program was introduced to Capstone's distribution partners at the company's recent worldwide sales meeting. The first long-term rentals were received from distributors serving the oil and gas market.

"This long-term rental program is designed to specifically target the Oil & Gas sector and Telecom companies that frequently deploy clean and reliable energy solutions while they build out permanent infrastructure," said Jim Crouse, Capstone Turbine Corporation's Executive Vice President, Sales and Marketing. "This program was extremely well received at our global sales meeting, as it affords our distributors another sales tool to continue to expand the market for our products," added Crouse.

"This new program allows Capstone to convert some of its existing product inventory into high margin monthly rental income," said Darren Jamison, Capstone's President and Chief Executive Officer. "We are pleased with the initial market response to our factory rental program as it fits our strategic objectives by seeding 20 of our proven C65 units into Oil & Gas customers who previously had no experience with our product," added Jamison.

About Capstone Turbine

Capstone Turbine Corporation (www.microturbine.com) (NASDAQ:CPST) is the world's leading producer of low-emission microturbine systems, and was the first to market commercially viable microturbine energy products. Capstone Turbine has shipped over 4,000 Capstone MicroTurbine(R) systems to customers worldwide. These award-winning systems have logged millions of documented runtime operating hours. Capstone Turbine is a member of the U.S. Environmental Protection Agency's Combined Heat and Power Partnership, which is committed to improving the efficiency of the nation's energy infrastructure and reducing emissions of pollutants and greenhouse gases. A UL-Certified ISO 9001:2000 and ISO 14001:2004 certified company; Capstone Turbine is headquartered in the Los Angeles area with sales and/or service centers in New Jersey, New York, Mexico City, Milan, Nottingham, Shanghai and Tokyo.

"Capstone Turbine Corporation" and "Capstone MicroTurbine" are registered trademarks of Capstone Turbine Corporation. All other trademarks mentioned are the property of their respective owners.

This press release contains "forward-looking statements," as that term is used in the federal securities laws, about the benefits of our long-term factory rental program and market expansion. Forward-looking statements may be identified by words such as "expects," "objective," "intend," "targeted," "plan" and similar phrases. These forward-looking statements are subject to numerous assumptions, risks and uncertainties described in Capstone's filings with the Securities and Exchange Commission that may cause Capstone's actual results to be materially different from any future results expressed or implied in such statements. Capstone cautions readers not to place undue reliance on these forward-looking statements, which speak only as of the date of this release. Capstone undertakes no obligation, and specifically disclaims any obligation, to release any revisions to any forward-looking statements to reflect events or circumstances after the date of this release or to reflect the occurrence of unanticipated events.

    Source: Capstone Turbine Corporation

Released February 3, 2009