Latest Shuttle Flight Marks 14Th Mission For Spacehab

Today’s launch of the
Space Shuttle Atlantis from Kennedy Space Center in Florida marked
SPACEHAB, Inc.’s 14th mission in space and its
second resupply mission to the International Space Station (ISS). The
Space Shuttle Atlantis is carrying a SPACEHAB Logistics Double Module
(LDM), Integrated Cargo Carrier (ICC), and SPACEHAB Oceaneering Space
Systems (SHOSS) Box packed with equipment and supplies for the ISS.

This mission assures SPACEHAB’s leading position in the growing
space station resupply business. The company supported seven missions
to resupply the Russian Mir space station and the first ISS resupply
mission, which was launched last year. The company recently received a
$21.6 million contract award from the National Aeronautics and Space
Administration (NASA — http://www.nasa.gov) to support a third ISS
resupply mission, scheduled for launch in September.

“With these resupply missions, the development of our
Enterprise(TM) commercial space station module, and the establishment
of our new Space Media, Inc. subsidiary, SPACEHAB is opening the door
to space commerce in the new millennium,” said Dr. Shelley A.
Harrison, SPACEHAB’s Chairman and Chief Executive Officer. “Since our
first Shuttle mission in 1993, we have been busy supporting people
living and working in space – the astronauts and cosmonauts who use
our modules on Shuttle missions,” Harrison said. “Through television
and Internet broadcasting from Enterprise(TM), we now will bring this
unique experience to worldwide audiences here on Earth.”

“We are excited about the successful launch of our 14th mission
and the prospect of our 15th mission launching just four months from
now,” said SPACEHAB President David A. Rossi. “These resupply missions
to the ISS are critical to the future of space exploration and
development, and they provide SPACEHAB with a recurring source of
revenue that is important to our business.”

Cargo manifests for missions to Mir were subject to change just
weeks before launch. (SPACEHAB carried cargo for both NASA and the
Russian Aviation and Space Agency RASA on these missions. For more
information on NASA’s Space Shuttle and space station plans, see
http://spaceflight.nasa.gov/index-m.html.) ISS resupply missions
require a similar kind of flexibility. SPACEHAB was able to
accommodate numerous changes in the STS-101 cargo manifest as mission
plans evolved, including a late request to stow an Orbiter Replacement
Unit fan and adaptive hardware in the LDM, a task completed on April
21 (three days before the original STS-101 launch date of April 24).
The company also installed a grapple fixture in the SHOSS Box (an
equipment stowage container attached to the top of the ICC) at the
launch pad — a program first for the ICC.

SPACEHAB can load up to a ton of late-access cargo once the
Shuttle is on the launch pad. “If it can fit through the hatch of an
orbiter or a space station module, then we will figure out how to stow
it and deliver it,” said Rossi.

After Atlantis docks with the ISS, space-walking astronauts will
transfer parts for a Russian-built crane from the SHOSS Box to the
ISS. Astronauts also will transfer a variety of crew supplies and
equipment from the LDM to the ISS, including replacement batteries for
the Russian FGB module, a common-berthing-mechanism centerline camera
system, crew care packages, an early portable computer system, an IMAX
3-D camera, and exercise devices. SPACEHAB’s module is tightly packed
for this mission, including overhead and subfloor space. The ICC is
fully packed as well, carrying such items as an Articulated Portable
Foot Restraint within the SHOSS Box.

Founded in 1984 and with more than $100 million in annual
revenue, SPACEHAB is a leading provider of commercial space services.
SPACEHAB is the first company to commercially develop, own and operate
habitable modules that provide laboratory facilities and logistics
resupply aboard NASA’s Space Shuttles. The company also supports
astronaut training at NASA’s Johnson Space Center in Texas and
provides commercial satellite processing services for Boeing’s Delta and Lockheed Martin’s Atlas launch vehicles near
Kennedy Space Center in Florida.

This release contains forward-looking statements that are subject
to certain risks and uncertainties that could cause actual results to
differ materially from those projected in such statements. Such risks
and uncertainties include, but are not limited to, whether the company
will fully realize the economic benefits under its NASA and other
customer contracts, the timing and mix of Space Shuttle missions, the
successful development and commercialization of new space assets,
technological difficulties, product demand, timing of new contracts,
launches and business, market acceptance risks, the effect of economic
conditions, uncertainty in government funding, the impact of
competition, and other risks detailed in the Company’s Securities and
Exchange Commission filings.

FACT SHEET

May 2000

Logistics Double Module (LDM):