Holtec’s Small Modular Reactor Program Will Proceed without DOE’s Funding

On December 12,2013, the Department of Energy announced it would award funding for developing a small modular reactor design to the Oregon start-up NuScale. While we are disappointed with DOE’s decision to exclude Holtec from the award, we remain confident that our reactor, the SMR-160, has the greatest potential to triumph in a global marketplace because it is designed to meet the highest expectations of safety and is uniquely engineered to compete economically with other sources of alternative energy in the evolving era of cheap fossil fuels. Accordingly, we remain firm in our decision to forge ahead on our own and bring SMR-160 to the world as a carbon-free alternative that, once and for all, would rid nuclear power of the stigma of Fukushima, Chernobyl and TMI.

Completed Metamic‐HT Spent Fuel Storage Baskets Represent Many Firsts for the Nuclear Industry

We are pleased to announce the successful completion of the first batch of Metamic-HT spent fuel storage baskets for our 89 storage cell BWR canister, MPC-89. The HI-STORM FW canister-based dry cask storage system (NRC Docket 72-1032) is licensed to store 37 PWR assemblies in the MPC-37 or 89 BWR assemblies in the MPC-89.

FENOC and Holtec Successfully Complete Wet Storage Expansion of Beaver Valley Unit 2 Spent Fuel Pool

We are pleased to announce the successful completion of the Beaver Valley (BVPS) Unit 2 rerack project. Beaver Valley Unit 2 is owned and operated by FirstEnergy Nuclear Operating Company (FENOC). This wet storage expansion project involved the removal of 17 existing Boraflex spent fuel racks from the spent fuel pool and replacement with 15 new high density racks, utilizing the Holtec proprietary MetamicTM poison material. As a result, the Unit 2 spent fuel pool capacity was increased by nearly 600 storage locations.

Holtec’s CEO Inducted into the National Academy of Engineering

We are proud to report that on October 5, 2013, our President and CEO Dr. Kris Singh was inducted into the National Academy of Engineering during the organization’s annual meeting in Washington, D.C. (see photo below). The Academy cited Dr. Singh’s global business leadership in the nuclear power industry and his influential technical contributions to the fields of managing spent nuclear fuel and improving operating nuclear reactors. Dr. Singh has published over 70 technical papers in various areas of nuclear technology and holds 45 active patents which provides the basis for a great bulk of the components and systems engineered by Holtec International and manufactured by the Company’s fabrication facilities in Pennsylvania, Ohio and Florida. He founded Holtec International in 1986 and was elected a Fellow of the ASME in 1987.

Holtec to provide a Fleet of HI‐STAR Transport Casks to SKB for Land and Sea Transport of Spent Fuel and Core Components

We are pleased to announce Holtec has been awarded a contract by Svensk Kärnbränslehantering AB (SKB) to replace their existing fleet of transport casks with Holtec’s HI-STAR 80 casks for shipment of BWR and PWR spent nuclear fuel and core components from Sweden’s Oskarshamn, Forsmark and Ringhals Nuclear Power Plants to SKB’s central interim storage facility (CLAB). SKB’s new ship, the MS-Sigrid, will be used to transport the casks by sea from Sweden’s Forsmark and Ringhals plants to the CLAB facility. The casks may also be used for international transports. The HI-STAR 80 casks will transport 12 PWR or 32 BWR high burnup fuel assemblies (above 45 GWD/MTU) with cooling times as short as 18 months.

A Steady Stream of Orders from International Power Plant Developers to Holtec

We are pleased to report that several international power plant developers have selected Holtec International’s feedwater heaters over the past two months, growing the Company’s backlog by over 80 high and low pressure heaters from power plant developers with total order value in excess of 40 million dollars.

The Singh Center for Nanotechnology Inaugurated on Penn’s Campus

The architectural masterpiece, named the Krishna P. Singh Center for Nanotechnology, was inaugurated on the University of Pennsylvania’s campus in West Philadelphia on October 4, 2013. The $92 million, 78,000 square foot luminescent glass edifice with the uniquely perched elevated cantilever (see photo below) is named after Holtec’s President and CEO, Dr. Kris Singh. This new arrival has been hailed in the media as “quite possibly the most beautiful building” in the region.

Pool‐to‐Pad Loading Services Contract Awarded to Holtec

Holtec International is pleased to announce that it has been awarded a pool-to-pad dry cask storage loading services contract at a large PWR Nuclear Station located in the south-central United States. This is the first time Holtec is performing loading services for this site. Holtec’s Site Services Division will provide turnkey loading services to place into storage 4 Holtec HI-STORM 100 dry cask storage systems at the site’s Independent Spent Fuel Storage Installation (ISFSI). Holtec’s site emergency response team which includes our engineering and licensing staff is available around the clock to support any emergent issues that arise during the loading campaign. Holtec will apply lessons learned from previous loading campaigns as well as those from Holtec’s Users Group (HUG).

Holtec International and PSEG Power Deepen their Affiliation to Develop SMR‐160

Holtec International is pleased to announce that PSEG Power has deepened their commitment to the development of the SMR-160. The Holtec SMR-160 is a pressurized water reactor designed by Holtec’s subsidiary SMR, LLC which employs gravity to cool the core under all operating and accident modes. It is a light water reactor with the reactor, steam generator, and spent fuel pool located inside the containment. The reactor core is located below grade. The Holtec SMR-160 has a rated electrical output of 160 MWe. Under terms of the agreement, PSEG Power will continue to offer their technical expertise, including reactor operations, operator training, procedure development, site safety, regulatory affairs, and security to inform the design from an operations and maintenance perspective. In exchange, PSEG Power has been granted an option to acquire an ownership interest in the technology, which paves the way for PSEG Power to be responsible for the training and operations of the SMR-160 when the new reactor units are built.