New order for hydroelectric subsidiary

Press Release
October 7, 2008


New order for hydroelectric subsidiary

Morphic's subsidiary Finshyttan Hydro Power AB has received an order from
Andritz Hydro Inepar Sweden AB for renovation and conversion of a hydroelectric
turbine at the Letsi hydroelectric power plant.

In 2007 Finshyttan renovated unit 1. The plant's owner now wishes to renovate
unit 2 and has once again entrusted the task to Finshyttan. The renovation will
comprise wing servomotors, turbine axles and turbine details, and the project
will run from mid-October 2008 to the mid-January 2009.

The Letsi Power Plant stands on the Lilla Lule River about 16 km upstream from
the confluence with the Stora Lule River. The plant, which was the first to be
built on the Lilla Lule River, uses the head between Lake Valjates and the Porsi
Power Plant. Work on Letsi began in late 1960 and the first two units were taken
into operation in spring 1967. The plant has three units with a total effect of
440 MW and is owned by Vattenfall.

Hydroelectric power is the primary source of energy in Sweden, accounting for
more than 40 percent of electrical production. Sweden is currently undergoing a
process of renovating and modernizing hydroelectric power stations to increase
production. 
For more information, please contact:
Johannes Falk, Executive Vice President, Investor Relations, 
Phone: +46 (0)70-676 73 93
E-mail: johannes.falk@morphic.se

This document is an English translation. In the event of any discrepancies
between the original Press release in Swedish and this translation, the former
shall have precedence.




This is Morphic
Morphic is a Swedish engineering group operating in the areas of Fuels Cells,
Wind Power, Energy Systems based on Fuel Cells and engineering technology. The
Group has about 230 employees and conducts operations in six countries - Sweden,
Norway, Japan, Greece, Italy and Switzerland. Morphic is currently building up
in-house sales organizations in China and in the USA. Morphic Technologies' B
shares have been listed on the OMX Nordic Exchange since March 4, 2008, and the
number of shareholders is about 25,400.