Shaw Group CEO Testifies in Support of New Nuclear Plants In U.S.; Encourages Congress to Pass Comprehensive Energy Bill

WASHINGTON--(BUSINESS WIRE)--March 4, 2004--J.M. Bernhard, Jr., Chairman, CEO and founder of The Shaw Group Inc. (NYSE:SGR) testified today before Congress and emphasized that the U.S. needs to remove barriers to new nuclear generation in the United States. Bernhard stressed the importance of nuclear energy and its contribution to the nation's energy supply and security, and encouraged the Committee to continue its efforts to pass a comprehensive energy bill that addresses the importance of nuclear energy on our nation's growing power demands.

Bernhard testified before the Subcommittee on Energy of the Senate Committee on Energy & Natural Resources during a hearing on new nuclear power generation in the United States. Bernhard commended Members of the Committee for their work on the energy bill and stated, "It is critical that an energy bill with the right mix of incentives to promote new nuclear construction is soon passed."

The hearing also highlighted the importance of the restart of the Tennessee Valley Authority's (TVA) Unit 1 nuclear reactor at the Browns Ferry Nuclear power plant. The Shaw Group is performing construction restart services for the $1.8 billion project to return Browns Ferry to operation. "It is our mission to bring about the restart safely, with high quality and reliability, on time and on budget," Bernhard stated. "The BF-1 restart team fully expects that these goals will be met."

Bernhard also discussed current efforts to develop the next generation of reactor design, known as Generation IV plants. "Such a design will address the challenging goals of being highly economical, with efficiency levels comparable to that of combined cycle natural gas plants, minimum waste generation, walk-away safety features and proliferation resistant fuel," he stated. "I am personally very excited about the DOE's plans to build a demonstration Generation-IV reactor at INL (Idaho National Laboratory) and to couple that project with hydrogen generation. Just as the race to the moon in the 1960s resulted in a myriad of offshoot technologies that we rely on today, it is these types of grand visions that will become the basis for our future energy infrastructure."

Shaw, through its subsidiary, Stone & Webster, Inc., is a recognized leader in the nuclear industry. It has furnished operations and support to more than 95 percent of the nation's nuclear facilities and is the domestic leader in the supply of multi-station contract maintenance and plant restart construction services.

In January 2004, The Shaw Group Inc. announced that its subsidiary, Stone & Webster Asia, Inc., was awarded a seven-year contract to provide engineering support services to Korea Power Engineering Company, Inc. (KOPEC) for Shin-Kori 1 & 2 and Shin-Wolsong 1 & 2 nuclear plants to be built in the Republic of Korea. Each of the four KOPEC units will generate 1,000 megawatts of electricity and will implement the Korean Standard Nuclear Plant pressurized water reactor design. Stone & Webster Asia will supply expert engineering support in the Republic of Korea. Technical engineering services will be provided by Stone & Webster's offices in the United States.

"Nuclear is a big part of The Shaw Group and we remain committed to the nuclear industry," Bernhard stated. "The Shaw Group remains ready to support new nuclear development and construction."

The Shaw Group Inc. is a leading provider of consulting, engineering, construction, remediation, and facilities management services to government and private sector clients in the environmental, infrastructure, and homeland security markets. Shaw is also a vertically integrated provider of comprehensive engineering, consulting, procurement, pipe fabrication, construction, and maintenance services to the power and process industries worldwide. The Company is headquartered in Baton Rouge, Louisiana, and employs approximately 15,000 people at its offices and operations in North America, South America, Europe, the Middle East and the Asia-Pacific region. For further information, please visit the Company's website at www.shawgrp.com.

For more information about the Shaw Group, please contact: Kristi Ledford at 770-704-5439 or by email at [email protected]

The statements contained herein that are not historical facts (including without limitation statements to the effect that the Company or its management "believes," "expects," "anticipates," "plans," or other similar expressions) and statements related to revenues, earnings, backlog, or other financial information or results are forward-looking statements based on the Company's current expectations and beliefs concerning future developments and their potential effects on the Company. There can be no assurance that future developments affecting the Company will be those anticipated by the Company. These forward-looking statements involve significant risks and uncertainties (some of which are beyond our control) and assumptions and are subject to change based upon various factors. Should one or more of such risks or uncertainties materialize, or should any of our assumptions prove incorrect, actual results may vary in material respects from those projected in the forward-looking statements. The Company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. A description of some of the risks and uncertainties that could cause actual results to differ materially from such forward-looking statements can be found in the Company's reports and registration statements filed with the Securities and Exchange Commission, including its Form 10-K and Form 10-Q reports, and on the Company's website under the heading "Forward Looking Statement". These documents are also available from the Securities and Exchange Commission or from the Investor Relations department of Shaw. For more information on the company and announcements it makes from time to time on a regional basis visit our website at www.shawgrp.com.

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    CONTACT: For The Shaw Group Inc.
             Kristi Ledford, 770-704-5439
             Email: [email protected]
    SOURCE: The Shaw Group Inc.
"Safe Harbor" Statement under the Private Securities Litigation Reform Act of 1995: Statements in this press release regarding SHAW GROUP INC's business which are not historical facts are "forward-looking statements" that involve risks and uncertainties. For a discussion of such risks and uncertainties, which could cause actual results to differ from those contained in the forward-looking statements, see "Risk Factors" in the Company's Annual Report or Form 10-K for the most recently ended fiscal year.