Westinghouse Announces MOU With Czech Firm Vitkovice

PRAGUE, Dec. 1, 2011 /PRNewswire/ -- Westinghouse Electric Company today announces the signing of an important Memorandum of Understanding (MOU) with Czech company Vitkovice a.s., in preparation for the potential construction of Westinghouse AP1000® nuclear power plants in the Czech Republic.

According to the agreement, Westinghouse intends to procure many important components from Vitkovice if their AP1000 reactor is selected for the completion of the Temelin Nuclear Power Plant. Such equipment includes vital steelwork for the containment vessel and shield building, various sub-assemblies for structural and mechanical modules, and major components of the reactor circuit.

The agreement marks a further important milestone in Westinghouse’s continuing activities to develop and subsequently deliver a valuable proposal to CEZ, for the construction of the AP1000 nuclear power plant at the Temelin site in the South Bohemian region of the country. The agreement was signed in Prague by Westinghouse’s President for the Europe, Middle East & Africa region, Yves Brachet and Vitkovice a.s. Chairman of the Board of Directors Jan Svetlik, who is also the President of the Czech Machinery Cluster. Under the MOU, Westinghouse and Vitkovice will also work together to identify opportunities for members of the Cluster to become qualified suppliers to Westinghouse.

Speaking at the signing ceremony, Mr. Brachet said:

“I am delighted to be able to sign this important agreement today. Westinghouse has a policy that 'We Buy Where We Build' and this announcement demonstrates how seriously we take that approach – even when it has been explicitly stated by the Czech Government and our potential customer, CEZ, that localization is not something they will be considering in the bid evaluation process.

As nuclear new build programmes around the world continue to make real progress, it is important to Westinghouse that we have a strong and diverse supply chain to ensure high quality delivery of these vital projects. By signing this MOU with us today, Vitkovice are taking an important step towards their participation in AP1000 projects in the Czech Republic and also potentially elsewhere in the region. I am pleased to welcome them to the Westinghouse AP1000 team, and I look forward to welcoming other members of the Czech Machinery Cluster in future.”

Mr Svetlik, Vitkovice a.s. Chairman of the Board of Directors and President of the Czech Machinery Cluster said:

“Equipment supply to the energy industry, and the complex delivery of energy sources, is the strategic business of VITKOVICE MACHINERY GROUP and this business sector creates major opportunities for the Czech Machinery Cluster. For these reasons, I am very happy to be signing this Memorandum, which opens up further opportunities to supply to nuclear energy companies, not only in the Czech Republic or Europe, but also beyond.”

Notes for Editors:

Westinghouse Electric Company, a group company of Toshiba Corporation (TKY:6502), is the world's pioneering nuclear energy company and is a leading supplier of nuclear plant products and technologies to utilities throughout the world.  Westinghouse supplied the world’s first PWR in 1957 in Shippingport, Pa.  Today, Westinghouse technology is the basis for approximately one-half of the world's operating nuclear plants.

The Westinghouse AP1000 reactor is close to final design certification by nuclear regulators in the US, and is one of two designs currently being considered for potential new nuclear build in Britain. Contracts have been placed around the world for a total of ten AP1000 plants to date – 4 in China and 6 in the US. All four Chinese plants are under construction and remain on schedule, with the first plant, at Sanmen in China, on track to produce electricity in 2013.

VITKOVICE is member of the VITKOVICE MACHINERY GROUP, the most important Czech engineering group with a strong position in selected segments of machinery production and in the area of supplies of large investment assemblies. It incorporates approximately thirty companies. The group consists of a modern, extensive and unique production base, coupled with substantial know-how based on research and development. The VITKOVICE trade mark celebrated its 180th anniversary in December 2008. VITKOVICE MACHINERY GROUP is an important supplier of components for nuclear power plants. Pressurizers and steam generators manufactured in VITKOVICE serve in the Czech nuclear plants at Temelin and Dukovany, and also in other nuclear power plants outside the country, for example in Slovakia, Russia and India.

This MOU follows on from another recently-signed MOU between Westinghouse and major Czech company, I&C Energo.

SOURCE Westinghouse Electric Company