Schneider Boosts Presence in Renewable Energy Market as it Acquires Xantrax

Schneider Electric announced today that it has signed a definitive arrangement agreement with Xantrex Technology Inc. providing for the acquisition by Schneider Electric of all of the common shares of Xantrex.

Xantrex is a top 3 global player in the solar and wind inverter market with strong growth potential:

• Leadership position in the very promising North American solar inverter market
• Extending positions in key European markets (Germany, Spain)
• Broad product portfolio in reliable leading edge 1 and 3 phase power technology
• Dedicated market access through specialised distributors, system integrators and OEMs

Xantrex will reinforce Schneider Electric’s growing leadership position in solutions for renewable energies.

The renewable business is poised for continued high growth, with an expected 2006-2012 annual growth rate of around 30%* and 20%** for solar and wind, respectively. Demand is expected to remain strong driven mainly by increasing costs of fossil energies, societal sensitivity to environmental concerns and financial incentives in many countries.