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ATS announces update on Photowatt Technologies' IPO

March 16, 2007 | General

CAMBRIDGE, ON, March 16 /CNW/ - ATS Automation Tooling Systems Inc. announced today that the marketing period for the initial public offering of common shares of Photowatt Technologies Inc. has been extended following consultation with BMO Capital Markets and UBS Investment Bank, joint book-running managers for the offering. Other syndicate members in Canada include GMP Securities, Scotia Capital and Sprott Securities, and in the United States, Cowen and Company, GMP Securities and Sprott Securities.

The offering of these securities is made only by means of a prospectus, copies of which may be obtained from BMO Capital Markets Distribution Centre, Attention: Des Raposo, 1 First Canadian Place, B2 Level, Toronto, Ontario, M5X 1H3 (in Canada), and UBS Securities LLC, Attention: Prospectus Department, 299 Park Avenue, New York, NY, 10171-0026 (in the United States).

A registration statement for this offering has been filed with the United States Securities and Exchange Commission and has been declared effective. A preliminary prospectus has also been filed with Canadian securities regulators relating to the initial public offering of Photowatt Technologies' common shares.

This news release shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of these securities, in any state, province or jurisdiction in which such offer, solicitation or sale would be unlawful prior to the registration or qualification under the securities laws of any such state, province or jurisdiction.

About Photowatt Technologies Inc.
Photowatt Technologies is an integrated designer, manufacturer, marketer and seller of solar modules and installation kits and provides solar power system design and other value-added services to its customers. Photowatt operates an integrated manufacturing facility in Lyon, France, a module assembly operation in Albuquerque, New Mexico, and has a Spheral Solar(TM) development facility in Cambridge, Ontario. Its products are marketed under the Photowatt and Matrix brand names.

About ATS
ATS Automation Tooling Systems Inc. provides innovative, custom designed, built and installed manufacturing solutions to many of the world's most successful companies. Founded in 1978, ATS uses its industry-leading knowledge and global capabilities to serve the sophisticated automation systems' needs of multinational customers in healthcare, computer/electronics, automotive and consumer products. Through its solar business, ATS participates in the growing solar energy industry. It also leverages its many years of repetitive manufacturing experience and skills to produce, in high volume, precision components and subassemblies and to answer the specialized repetitive equipment manufacturing requirements of customers. ATS employs approximately 3,500 people at 25 manufacturing facilities in Canada, the United States, Europe, southeast Asia and China. The Company's shares are traded on the Toronto Stock Exchange under the symbol ATA.

Note to Readers
This press release contains certain statements that constitute forward-looking information within the meaning of applicable securities laws ("forward-looking statements"). Such forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause the actual results, performance or achievements of ATS or Photowatt Technologies, or developments in ATS's or Photowatt Technologies' businesses or in their industries, to differ materially from the anticipated results, performance, achievements or developments expressed or implied by such forward-looking statements. Forward-looking statements include all disclosure regarding possible events, conditions or results of operations that is based on assumptions about future economic conditions and courses of action. Forward-looking statements may also include, without limitation, any statement relating to future events, conditions or circumstances. ATS and Photowatt Technologies caution you not to place undue reliance upon any such forward-looking statements, which speak only as of the date they are made. Forward-looking statements relate to, among other things, an initial public offering by Photowatt Technologies Inc. The risks and uncertainties that may affect forward-looking statements include, among others; general market performance; market performance within the solar sector; delays in or abandonment of pursuit of an initial public offering for Photowatt Technologies Inc. due to a change in market conditions, the availability of an alternative transaction, or due to any other reason, including any of the risk factors set out herein; performance of ATS's and Photowatt Technologies' solar business; Photowatt, Clean Venture 21 Corporation and Fujipream Corporation not reaching a definitive agreement on commercially reasonable terms, the failure to obtain any approvals required as a precondition to entering into such a definitive agreement, risks involved in successfully developing and commercializing sphere-based solar technology on a cost-effective basis, including whether or not technical solutions exist, are available, can be discovered, and are economically feasible, and potential delays in finding technical solutions; problems with the equipment used in the optical fused powder ("OFP") process; unforeseen problems with Photowatt France's use of OFP silicon produced by the Spheral Solar technology and/or refined metallurgical silicon; the risk that desired cell efficiencies relating to refined metallurgical grade silicon technology cannot be achieved and/or that the market is unreceptive to lower efficiency cells and as a result it is not an economically viable alternative to the use of conventional solar grade silicon; equipment, labour or other issues that may arise with respect to the Spheral Solar technology being used in conversion of silicon for Photowatt International S.A.S.; reversal of current silicon supply arrangements, inability to finalize agreements, strategic partnerships, or alliances to provide for silicon supply and other problems that may be encountered with silicon supply sources; potential for silicon prices to decline in the face of long term silicon supply arrangements; ability to achieve lower silicon usage relative to conventional solar technology; possibility that selling price increases and improvements in production efficiencies will not be obtained and/or, if they are, will not be sufficient to offset higher silicon costs and shortages; the cost and availability of silicon, including silicon powder and fines, and other raw materials and certain specialized manufacturing tools and fixtures used in the production of the solar business' products; the successful expansion of production capability and adoption of new production processes; the extent of market demand for solar products such as those developed by the solar business; the availability of government subsidies for solar products, the development of superior or alternative technologies to those developed by the solar business; and other risks detailed from time to time in ATS's and Photowatt Technologies' filings with Canadian provincial securities regulators, including ATS's Management's Discussion and Analysis, Consolidated Financial Statements, Annual Report and Annual Information Form for the fiscal year ended March 31, 2006. Forward-looking statements are based on ATS's and Photowatt Technologies' management teams' current plans, estimates, projections, beliefs and opinions, and neither ATS nor Photowatt Technologies undertakes any obligation to update forward-looking statements should assumptions related to these plans, estimates, projections, beliefs and opinions change.

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For further information:
Carl Galloway, Vice President and Treasurer
Gerry Beard, Vice President and Chief Financial Officer
(519) 653-6500