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2014-04-15

Applied Materials: Applied Materials Teaming with Central Hudson Gas & Electric to Demonstrate Superconducting Fault Current Limiter Technology in New York

* Applied joins Central Hudson Gas and Electric, SuperPower Inc., and Three-C
to demonstrate technology designed to safeguard power grids from damaging
effects of fault currents
* Superconducting fault current limiter has potential to improve grid
reliability and overall power transfer capabilities, and reduce
infrastructure costs

SANTA CLARA, Calif., April 15, 2014 - Applied Materials, Inc. today announced
that it has completed the assembly of a superconducting fault current limiter
(SCFCL) system for installation and on-grid testing at the Knapps Corners
substation owned and operated by Central Hudson Gas and Electric Corp.
(Central Hudson) in New York. This SCFCL system, which is scheduled to become
operational in May 2014, is designed to help protect Central Hudson's
electricity grid from the potentially devastating effects of electrical
faults.

Applied is teaming with the New York State Energy Research and Development
Authority (NYSERDA); Central Hudson, a New York State regulated electric and
gas utility; SuperPower Inc., a manufacturer of high-temperature
superconducting wire; and Three-C Electrical Co., a utility systems
integrator, to complete the utility-scale implementation. System testing and
evaluation will be conducted over a period of one year starting in May 2014,
and the performance data will be provided to the New York State Public
Service Commission.

Fault current mitigation is an increasing area of concern for utilities due to
changes in power demand and the proliferation of new distributed generation
sources. A fault current is an unintended, excessive current flowing through
the electrical system that may be caused by various factors, including
lightning or downed or crossed power lines. Fault currents can induce
significant stress on critical substation equipment such as power
transformers and breakers, resulting in a failure of part of the system and
leading to interruption of power delivery. These destructive forces also wear
out grid components causing premature failure and need for expensive capital
replacements.

The SCFCL system is designed to reduce the first peak of a fault current on a
power line, thereby limiting the destructive forces on the power system and
improving equipment reliability. In developing its SCFCL technology, Applied
utilized its high-voltage engineering experience gained in designing ion
implant tools for the semiconductor industry, as well as its expertise in
large-equipment systems engineering. Incorporating advanced 2G
high-temperature superconducting materials, the SCFCL is designed to add
essentially zero impedance during normal operation, to insert impedance in
time to reduce the first peak of fault current, and to rapidly recover after
a fault for subsequent operation. Depending on the specific system
configuration and local operating conditions, the SCFCL has the potential to
reduce the magnitude of fault currents by the desired levels, typically 50%
or more.

"We anticipate that the successful demonstration of our superconducting fault
current limiter in New York will be a significant milestone in showing the
potential of this technology for wide-scale adoption by electric utilities
globally," said Om Nalamasu, Senior Vice President, Chief Technology Officer,
Applied Materials. "Applied's development of this technology is an example of
how the company's core capabilities can add value in additional market areas.
We are grateful to the New York State Energy Research and Development
Authority for their support, as well as our project team members Central
Hudson, SuperPower Inc., and Three-C for working closely with Applied to
install and demonstrate the superconducting fault current limiter at Central
Hudson's Knapps Corners Substation."

"We see the application of fault current limiters at our host substation as a
great opportunity to test and evaluate this promising technology," said Paul
Haering, Central Hudson's Vice President of Engineering and System
Operations. "The large current experienced during a fault - up to 200 times
nominal current level - exerts excessive forces on power grid components and
connections. By adding fault current limiters, our goal is to lengthen the
service life of equipment and lower system losses, ultimately lowering costs
for our electricity customers."

"As a world leading developer and producer of second-generation
high-temperature superconducting wire, SuperPower provides a key component of
the fault current limiter system," said Mickey Lavicska, associate director
of marketing and sales at SuperPower Inc. "During normal operation, the wire
in the fault current limiter is cooled to a critical temperature that brings
it to the superconducting state where there is no resistance to the flow of
the electric current. When a fault occurs in the line, the wire leaves the
superconducting state and immediately becomes resistive, thereby impeding the
fault current flow and reducing the electrical current to levels manageable
by existing equipment."

About Applied Materials
Applied Materials, Inc. (Nasdaq:AMAT) is the global leader in providing
innovative equipment, services and software to enable the manufacture of
advanced semiconductor, flat panel display and solar photovoltaic products.
Our technologies help make innovations like smartphones, flat screen TVs and
solar panels more affordable and accessible to consumers and businesses
around the world. Learn more atwww.appliedmaterials.com.

# # #

Contact:
Ricky Gradwohl(editorial/media) 408.235.4676

Michael Sullivan(financial community) 408.986.7977

John Ludlum(business development) 978.282.6379

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This announcement is distributed by NASDAQ OMX Corporate Solutions on behalf of NASDAQ OMX Corporate Solutions clients.
The issuer of this announcement warrants that they are solely responsible for the content, accuracy and originality of the information contained therein.
Source: Applied Materials via Globenewswire

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