POWERGRAMS

PAG E 5 POWER TO ALABAMA The world's most advanced high-speed military ships are being built in Alabama by Austal USA with help from longtime ally Alabama Power. Austal has delivered two of a planned dozen littoral combat ships (LCS) and has completed four of 10 joint high-speed vessels (JHSV) for the U.S. Navy under contracts totaling more than $5 billion, said an Austal representative. Alabama Power provides electricity and support to Austal's 165-acre ship-building yard at the Port of Mobile. Austal USA President Craig Perciavalle called Alabama Power "truly a first-class organization," praising the partnership between his employees and Mobile Division Vice President Mike Saxon's team. "It's reassuring to know we have a partner in Alabama Power that has the expertise ready and waiting when a problem arises," Perciavalle said. "Keeping Austal online is critical for us to meet our schedules, and Alabama Power has never let us down." Austal's module manufacturing facility (MMF) houses a 17-acre covered plant with two production lines. The MMF is supplemented by a 1.7-acre drive-through warehouse and parking for more than 2,000 vehicles in a secure, paved area. The final assembly yard has four large bays for fabrication, erection and component storage, Austal said. Each bay is equipped with overhead cranes capable of lifting 40 tons. "The folks at Alabama Power were extremely helpful during the design and construction of Austal's module manufacturing facility, office complex and Navy administration building, providing energy-efficient ideas that not only help the environment but save us money, too," Perciavalle said. "Their support didn't stop there, as they continue to periodically help us assess our operations to become more energy efficient." Littoral (close to shore) combat ships are intended to operate in coastal areas globally, Austal said. As a key part of the U.S. Navy fleet, they are highly maneuverable to support mine detection and elimination, and anti-submarine and surface ship warfare. The trimaran hull gives the ship superior maneuverability and capacity to carry a large variety of weapons. Austal delivered the USS Independence (LCS 2) to the Navy in 2009 and USS Coronado (LCS 4) in 2013. Both ships are stationed at Naval Base San Diego. LCS 6 through LCS 16 are under construction at the Mobile shipyard. The JHSVs are 338-foot-long aluminum catamarans designed to be fast, flexible and maneuverable, even in shallow waters, making them ideal for quickly transporting troops and equipment within a theater of operations. The ship is capable of transporting 600 short tons of troops, vehicles, supplies and equipment 1,200 nautical miles at an average speed of 35 knots (40 mph). The JHSV aviation flight deck can support day and night flight operations. Each ship has sleeping accommodations for 146 personnel and airline-style seating for 312. Austal has delivered four of the 10 contracted JHSVs. Two are stationed on the East Coast, one on the West Coast and the other is in transit. Three of the remaining six ships are under construction. Austal Vice President Mike Bell said Alabama Power employees have "a professional attitude" and treat his company as "a valued customer." Bell said he can count on uninterrupted power keeping his production lines running smoothly. "In 2012 we had a transformer blow that powers one of our manufacturing bays," Bell said. "Within 30 minutes of the outage, Alabama Power had this large piece of equipment on a truck headed to Austal and we were back up and running by the beginning of the night shift. It would have taken us several days to effect the same replacement." Austal USA's latest expansion project is the vessel completion yard (VCY), a 36-acre, secure fenced facility at the northern tip of Pinto Island. The VCY will have a protected 1,000-by-300-foot slip with four wet berths. The reinforced concrete bulkheads surrounding the slip will service the ships for completion, trials and delivery, as well as provide heavy weather mooring and protection. "I've had the pleasure of working with Austal as they have grown and expanded their business in Mobile," said Senior Market Specialist Kelvin Hamil. "It has been very exciting to see them assemble many parts to build a state-of-the-art ship like the littoral combat ships. Over the years, we have built a positive relationship based on trust, honesty and good communication." Austal plans to build a 20,000-square- foot production building with administrative space, a 5,000-square-foot warehouse and paved parking for 400 cars. The VCY has 1,500 feet of waterfront along the Mobile River with sufficient space for storage of large shipyard equipment or any future facilities. "We are very proud to have Austal as a major customer in the Mobile area," said Saxon. "Austal brings many solid, high-paying jobs to the Mobile economy. Moreover, Craig Perciavalle and the Austal team are great community partners in so many ways. From the Mobile Chamber to the United Way to workforce development initiatives like Worlds of Opportunity, Craig and his team help make the community a better place. We are extremely fortunate to have Austal in Mobile, and we look forward to having them as our customer as well as our partner in the community for many years to come." 5 Austal, APC become allies in U.S. warship construction Austal's 165-acre shipyard in Mobile. Photo cortesy Austal USA

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