Boeing

WASHINGTON, Aug. 8, 2011 -- Boeing [NYSE: BA] and Siemens [NYSE: SI] today announced a strategic alliance for the joint development and marketing of "smart grid" technologies to improve energy access and security for the U.S. Department of Defense (DOD), the largest energy consumer in the federal government.

The collaboration centers on providing U.S. military installations with secure microgrid management solutions that lower operational costs and increase energy efficiency.

"This collaboration will make a real difference in how the DOD uses energy," said Tim Noonan, vice president of Boeing Energy. "For years, Boeing has developed secure, networked systems vital to the nation's defense, and bringing this capability to the development of energy security and efficiency is vital for the military's future. Boeing and Siemens' combined approach will help provide energy independence and critical infrastructure protection to ensure mission success for the U.S. military, at home and abroad."

The alliance draws on Boeing’s expertise in providing the DOD with complex systems and technologies, and Siemens' industry-leading global energy management capabilities.

"Siemens is the only company worldwide that provides its customers with energy-efficient technologies that enable 'smart' production, transmission and consumption," said Judy Marks, head of Siemens U.S. Federal Business. "The Siemens and Boeing team has a vision for the United States' energy future, and we’re committed to helping the DOD achieve unprecedented levels of power reliability, quality, efficiency and energy independence."

The alliance's microgrid management solution will be designed to:

• implement economical energy-efficiency tools that allow for analysis, control and automation of energy processes
• use smart energy controls to provide real-time data to manage energy use
• integrate renewable energy sources and storage.

The Siemens and Boeing alliance brings together the capabilities required of a DOD energy modernization provider, including end-to-end engineering and construction; network and smart grid integration; cybersecurity; energy efficiency; energy management and storage; next-generation alternative energy integration; climate monitoring; and service, training and maintenance.

Siemens Corporation is a U.S. subsidiary of Siemens AG [NYSE: SI], a global powerhouse in electronics and electrical engineering, operating in the industry, energy and health care sectors. For more than 160 years, Siemens has built a reputation for leading-edge innovation and the quality of its products, services and solutions. With 405,000 employees in 190 countries, Siemens reported worldwide revenue of $102.9 billion in fiscal 2010. Siemens in the USA reported revenue of $19.9 billion and employs approximately 62,000 people throughout all 50 states and Puerto Rico. For more information on Siemens in the United States, visit www.usa.siemens.com.

A unit of The Boeing Company, Boeing Defense, Space & Security is one of the world's largest defense, space and security businesses specializing in innovative and capabilities-driven customer solutions, and the world's largest and most versatile manufacturer of military aircraft. Headquartered in St. Louis, Boeing Defense, Space & Security is a $32 billion business with 64,000 employees worldwide. Follow us on Twitter: @BoeingDefense.

# # #

Forward-Looking Information Is Subject to Risk and Uncertainty

Certain statements in this release may be "forward-looking" within the meaning of the Private Securities Litigation Reform Act of 1995, including statements regarding benefits and synergies of the strategic alliance and future business prospects, as well as any other statement that does not directly relate to any historical or current fact. Forward-looking statements are based on current assumptions about future events that may not prove to be accurate. These statements are not guarantees and are subject to risks, uncertainties and changes in circumstances that are difficult to predict. Many factors could cause actual results to differ materially from these forward-looking statements. As a result, these statements speak only as of the date they are made and neither party undertakes an obligation to update or revise any forward-looking statement, except as required by law. Specific factors that could cause actual results to differ materially from these forward-looking statements include the effect of global economic conditions, the ability of the parties to realize anticipated synergies, and other important factors disclosed previously and from time to time in the filings of The Boeing Company and Siemens AG with the Securities and Exchange Commission.

A video news release is available at http://inr.synapticdigital.com/Siemens/Boeing.

Contact:

Derrell Carter
Boeing Defense, Space & Security
314-234-1362
derrell.carter@boeing.com

Michael Krampe
Siemens Industry Inc.
770-751-4959
michael.krampe@siemens.com