Shaw Group Awarded Contract for McAlester Army Ammunition Plant and Red River Army Depot

BATON ROUGE, La.--(BUSINESS WIRE)--Oct. 22, 2004--The Shaw Group Inc. (NYSE: SGR) today announced that its subsidiary, Shaw Beneco, Inc., has been awarded an indefinite delivery, indefinite quantity (IDIQ) job order contract by the U.S. Army Corps of Engineers, Tulsa District for the McAlester Army Ammunition Plant in McAlester, Oklahoma and the Red River Army Depot in Texarkana, Texas. The five-year, $29.5 million, IDIQ contract will consist of various construction projects including renovations, alterations, and repairs of existing facilities and infrastructure at both sites. At the time of the contract award, an initial task order to re-roof nine buildings in the administration area was also issued. Near-term projects anticipated at McAlester include providing protective covering for 74 earthen bunkers, construction of a new 40' by 50' dining hall, construction of parking shelters and renovation of a 1940's ammunition production facility.

Diana Severs Ferguson, President of Shaw Environmental and Infrastructure, Inc., said, "We are very pleased to receive this award from the Tulsa District. It closely follows our Comprehensive Environmental Contract awarded by the Corps this past June, under which Shaw and other contractors will provide up to $200 million of various environmental services over the next 5 years. We look forward to our continued strong working relationship with the Corps and to starting work immediately at McAlester."

The Shaw Group Inc. is a leading global provider of technology, engineering, procurement, construction, maintenance, fabrication, manufacturing, consulting, remediation, and facilities management services for government and private sector clients in the power, process, environmental, infrastructure and emergency response markets. A Fortune 500 company, The Shaw Group is headquartered in Baton Rouge, Louisiana, and employs approximately 17,000 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

The Private Securities Litigation Reform Act of 1995 provides a "safe harbor" for certain forward-looking statements. 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 Statements". 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

    CONTACT: The Shaw Group Inc., Baton Rouge
             Chris D. Sammons, 225-932-2546
    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.