Advanced Energy Announces Strong Growth and Profitability in Fourth Quarter Results

Fort Collins, Colo., February 16, 2010—Advanced Energy Industries, Inc. (Nasdaq GM: AEIS) today announced financial results for the fourth quarter ended December 31, 2009.

Sales for the fourth quarter of 2009 increased 28.4% to $66.4 million from $51.8 million in the third quarter of 2009, and decreased 1.6% from $67.5 million in the fourth quarter of 2008.

Sales to the semiconductor capital equipment markets rose 58.2% sequentially to $32.9 million, representing 49.6% of total sales for the quarter. Sales to the non-semiconductor markets grew 8.6% sequentially to $22.0 million, representing 33.2% of total sales for the quarter. Service revenue also continued strong, increasing 7.6% sequentially to $11.5 million or 17.3% of total sales for the quarter. Bookings for the fourth quarter were $98.0 million, which drove our book to bill ratio to 1.48:1, up from 1.16:1 in the third quarter of 2009. Ending backlog increased 91.2% sequentially to $66.2 million at the end of the fourth quarter compared to $34.6 million at the end of the third quarter of 2009.

Gross margin improved significantly to 36.8% in the fourth quarter, up from 30.1% in the third quarter of 2009 and 27.2% for the fourth quarter of 2008. The sequential improvement was driven largely by leverage against our fixed costs from the increase in revenues.

Fourth quarter net income was $1.5 million or $0.04 per diluted share, compared to a net loss of $8.4 million or a loss per share of $0.20 in the third quarter of 2009. In the fourth quarter of 2008, the net loss was $19.0 million or a loss per share of $0.45, the vast majority of which was a non-cash charge of $18.0 million for income taxes related to a valuation allowance against our deferred tax assets. We are pleased to report that we ended 2009 with cash, cash equivalents and investments of $177.5 million, a decline of just $2.6 million due to our careful cash management during the year.

For the full year 2009, sales were $186.4 million, 43.3% below sales of $328.9 million in 2008. The challenging economic environment impacted sales across all markets, most notably in the semiconductor capital equipment market where sales fell 43.1% from 2008. Net loss from operations for 2009 was $102.7 million, or a loss per share of $2.45. More than half of this was due to a non-cash goodwill impairment charge in the first quarter of 2009 of $63.3 million or $1.51 per share. Net loss for 2008 was $1.8 million or $0.04 per diluted share.

“The fourth quarter marked a high point in 2009, as we grew revenues and achieved profitability by leveraging the cost reductions taken during the year,” said Hans Betz, chief executive officer. “The pace of the recovery in the semiconductor capital equipment market ramped significantly in the quarter, as did the penetration of our Solaron inverters into larger, multi-megawatt projects. When the global economy recovers, we expect to benefit from the investments we made in technology during the downturn and our growth in multiple markets.”

First Quarter 2010 Guidance

• Sales of $77 million to $83 million
• Earnings per share of $0.13 to $0.17

Fourth Quarter 2009 Conference Call

About Advanced Energy

           CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED)
                     (in thousands, except per share data)

                                Three Months Ended       Twelve Months Ended
                            -----------------------------  -------------------
                              December 31,   September 30,    December 31,
                            2009       2008      2009       2009       2008
                            ----       ----      ----       ----       ----

    Sales                 $66,439    $67,525   $51,762   $186,395   $328,918
    Cost of sales          41,972     49,128    36,181    132,028    204,136
                           ------     ------   -------    -------    -------
    Gross profit           24,467     18,397    15,581     54,367    124,782
                             36.8%      27.2%     30.1%      29.2%      37.9%
    Operating expenses:
      Research and
       development         11,227     13,424    10,195     43,262     54,952
      Selling, general
       and administrative  11,135      9,513    10,788     41,484     52,273
      Impairment of
       goodwill                 -          -         -     63,260          -
      Amortization of
       intangible assets      148        257       123        613        946
      Restructuring
       charges                  6      1,898       235      4,376      3,487
                           ------     ------   -------    -------    -------
        Total operating
         expenses          22,516     25,092    21,341    152,995    111,658

    Income (loss) from
     operations             1,951     (6,695)   (5,760)   (98,628)    13,124

    Other income, net         495        553       506      1,910      2,883
                           ------     ------   -------    -------    -------
    Income (loss) from
     operations before
     income taxes           2,446     (6,142)   (5,254)   (96,718)    16,007
    Provision for
     income taxes             923     12,835     3,177      5,987     17,786
                           ------     ------   -------    -------    -------

    Net income (loss)      $1,523   $(18,977)  $(8,431) $(102,705)   $(1,779)
                           ======     ======   =======    =======    =======

    Basic earnings
     (loss) per share       $0.04     $(0.45)   $(0.20)    $(2.45)    $(0.04)

    Diluted earnings
     (loss) per share       $0.04     $(0.45)   $(0.20)    $(2.45)    $(0.04)

    Basic weighted-
     average common
     shares outstanding    42,032     41,832    42,004     41,966     42,537

    Diluted weighted-
     average common
     shares outstanding    42,464     41,832    42,004     41,966     42,537



                     CONDENSED CONSOLIDATED BALANCE SHEETS
                              (in thousands)

                                                       December 31,
                                                 ----------------------
                                                 2009              2008
                                                 ----              ----
    ASSETS

    Current assets:
         Cash and cash equivalents             $133,106          $116,448
         Marketable securities                   44,401            33,266
         Accounts receivable, net                50,267            56,549
         Inventory                               37,118            46,659
         Deferred income taxes, net               9,215            13,253
         Other current assets                     5,640             5,324
                                               --------          --------
    Total current assets                        279,747           271,499

    Property and equipment, net                  30,615            31,322

    Long-term investments                             -            30,401
    Deposits and other                            9,294             7,528
    Goodwill and intangibles, net                 5,982            72,918
    Deferred income taxes, net                   19,487             6,969
                                               --------          --------
    Total assets                               $345,125          $420,637
                                               ========          ========
    LIABILITIES AND STOCKHOLDERS' EQUITY

    Current liabilities:
         Accounts payable                       $23,802            $8,005
         Other accrued expenses                  24,176            23,928
                                               --------          --------
    Total current liabilities                    47,978            31,933

    Long-term liabilities                        18,813            12,155
                                               --------          --------
    Total liabilities                            66,791            44,088

    Stockholders' equity                        278,334           376,549
                                               --------          --------
    Total liabilities and
     stockholders' equity                      $345,125          $420,637
                                               ========          ========

Advanced Energy^® Solaron^® PV Inverters Selected for San Francisco Sunset Reservoir 5 MW Solar Project

Industry-Leading Efficiency Ratings and Lowest LCOE Fuel Momentum for Solaron

FORT COLLINS, Colo., Feb. 11, 2010—Advanced Energy Industries, Inc. (NasdaqGM: AEIS), today announced its Solaron^® PV inverters have been selected to power the San Francisco Sunset Reservoir 5 MW solar project. The project was awarded to Advanced Energy by Recurrent Energy, an independent power producer and a leading developer of solar power projects. Recurrent Energy will own and operate the solar power system, and is developing the project in partnership with the San Francisco Public Utilities Commission. The Solaron PV inverters were selected due to their record-setting efficiency ratings, field-proven LCOE (Levelized Cost Of Energy) advantages, and Advanced Energy’s outstanding customer service.

Dr. Hans Betz, chief executive officer of Advanced Energy, noted, “We are proud to be selected by Recurrent Energy to collaborate with them on this landmark project. Advanced Energy’s Solaron PV inverters have a strong reputation for optimized efficiency and the highest level of reliability for large-scale utilities. The project demonstrates the City of San Francisco’s commitment to renewable energy, and we are pleased to be able to help them achieve their goals.”

The 5 MW solar plant is being constructed on the roof of San Francisco’s largest reservoir, located in the city’s Sunset district. Construction is scheduled to begin this winter and is expected to be completed in 2010. Upon completion, the project will consist of 25,000 solar panels that span approximately 12 acres, making it one of the country’s largest municipal solar projects. The system will more than triple the City’s available renewable energy which can be used at numerous municipal facilities, including the San Francisco Airport, MUNI light rail system, the General Hospital and city schools.

For more information on Advanced Energy’s Solaron inverter solutions, please visit www.aesolaron.com.

About Advanced Energy

Advanced Energy is a global leader in innovative power and control technologies for high-growth, thin-film manufacturing and solar-power generation. Advanced Energy is headquartered in Fort Collins, Colorado, with dedicated support and service locations around the world. For more information, go to www.advanced-energy.com.

Advanced Energy to Report Fourth Quarter 2009 Financial Results on February 16

FORT COLLINS, Colo., February 2, 2010—Advanced Energy Industries, Inc. (Nasdaq: AEIS) will release fourth quarter 2009 and year-end financial results on Tuesday, February 16, 2010. Management's quarterly company update will also be held on February 16, 2010, beginning at 6:30 a.m. Mountain Time/ 8:30 a.m. Eastern Time.

To participate in the live conference call, dial 888-713-4717 approximately five minutes prior to the start of the meeting, and an operator will connect you. International participants should dial 816-650-2836. Participants will need to provide the operator with conference pass code 54700348, which has been reserved for this call.

A live and archived webcast of the call will also be available on the company’s website. To access the webcast, visit the Investor Relations section of Advanced Energy’s corporate website at http://ir.advanced-energy.com, and link to the Q409 Webcast on the Investor Relations Home Page. The archived webcast will be available at the same location approximately two hours following the end of the live event.

A telephone replay will be available for 48 hours following the webcast. To access the replay, dial 800-642-1687 or 706-645-9291 and enter conference pass code 35702731.

About Advanced Energy

Advanced Energy is a global leader in innovative power and control technologies for high-growth, thin-film manufacturing and solar-power generation. Advanced Energy is headquartered in Fort Collins, Colorado, with dedicated support and service locations around the world. For more information, go to www.advanced-energy.com.

Advanced Energy Lands Second-Phase Contract for Expanded 6 MW Solar Plant

Company’s Award-Winning Solaron^® PV Inverters Provide Lowest LCOE

FORT COLLINS, Colo., Feb. 2, 2010—Advanced Energy Industries, Inc. (NasdaqGM: AEIS), today announced that it has been awarded the second-phase contract for a newly expanded 6 MW solar plant installed at Aerojet’s corporate headquarters in Sacramento, CA. The Solaron PV inverters were selected by Solar Power, Inc. for the expansion because of their industry leading efficiency ratings, as well as their ability to deliver maximum power and lowest LCOE (Levelized Cost Of Energy).

Dr. Hans Betz, chief executive officer of Advanced Energy, noted, “This expansion demonstrates the major strides that leading energy companies are making in accelerating the deployment of renewable energy solutions. Advanced Energy’s industry-leading technology and comprehensive support services have enabled us to provide compelling benefits to our customers in the commercial and utility markets.”

After the successful commissioning of the original 3.6 MW site in November, Solar Power, Inc. announced a 2.4 MW expansion, bringing the total capacity of the site to 6 MW. The expansion is expected to be completed in April 2010, and will make the Aerojet site the single largest industrial installation in the State of California, and one of the largest in the U.S. Electricity generated from the new site will provide just over 10 percent of electricity demand for the Aerojet facility, as well as provide clean, solar energy to the greater Sacramento district. The project was developed in partnership with Solar Power, Inc. as well as with Aerojet, the Sacramento Municipal Utility District (SMUD) and HEK, LLC.

For more information on Advanced Energy’s Solaron inverter solutions, please visit www.aesolaron.com.

About Advanced Energy

Advanced Energy is a global leader in innovative power and control technologies for high-growth, thin-film manufacturing and solar-power generation. Advanced Energy is headquartered in Fort Collins, Colorado, with dedicated support and service locations around the world. For more information, go to www.advanced-energy.com.

Advanced Energy Signs Strategic PV Solar Service Agreement for Colorado State University's New, 2 MW Solar Plant

Company’s SiteGuard^SM Service Program Designed to Increase Uptime and Lower LCOE

About AMEC

AMEC (LSE: AMEC) is a focused supplier of high-value consultancy, engineering and project management services to the world’s natural resources, nuclear, clean energy, water and environmental sectors. With annual revenues of over $4.2 billion, AMEC designs, delivers and maintains strategic and complex assets for its customers. AMEC's Natural Resources, Power & Process and Earth & Environmental businesses employ almost 22,000 people in around 40 countries worldwide. www.amec.com

About Advanced Energy

Advanced Energy is a global leader in innovative power and control technologies for high-growth, thin-film manufacturing and solar-power generation. Advanced Energy is headquartered in Fort Collins, Colorado, with dedicated support and service locations around the world. For more information, go to www.advanced-energy.com.

Advanced Energy Appoints Yuval Wasserman as President and Chief Operating Officer

Fort Collins, Colo., December 17, 2009—Advanced Energy Industries, Inc. (Nasdaq: AEIS) today announced that the Board of Directors has appointed Yuval Wasserman as president effective January 1, 2010. Mr. Wasserman will continue to serve as COO, a position he has held since April 1, 2009. In addition to his existing responsibilities for worldwide business operations, Mr. Wasserman will assume responsibility for the next generation product and technology development.

About Advanced Energy

Advanced Energy^® Solaron^® Inverters Commissioned on Colorado State University’s 2 MW Solar Array

New Solar Plant Expected to Generate 10 Percent of Electricity Used at Foothills Campus

FORT COLLINS, Colo., Dec. 16, 2009—Advanced Energy Industries, Inc. (NasdaqGM: AEIS), today announced that its award-winning Solaron^® photovoltaic inverters were commissioned on Colorado State University’s (CSU) new, two megawatt solar power plant at its Foothills Campus. The Solaron products were selected for the new facility because of their record-setting efficiency rating as well as the company’s reputation for highly reliable products, service and support.

The 15 acre site is expected to be one of the largest solar installations at a U.S. university and is projected to produce more than 10 percent of the electricity required to power the Foothills Campus. The project is the result of a unique, public-private partnership between CSU, Fotowatio Renewable Ventures (FRV), a premier independent power producer, and Xcel Energy, a leading regional utility supplier. AMEC, an international engineering and project management company, is constructing the solar array. The facility started producing power in early December and is expected to be fully commissioned early in 2010.

Dr. Hans Betz, president and CEO of Advanced Energy, noted, “We’re proud to be working with these leading companies developing solar energy solutions to deliver clean, renewable energy to the Foothills Campus. We are confident that by delivering the highest efficiency available, our Solaron inverters will provide the maximum power harvest and the lowest levelized cost of energy (LCOE). CSU’s leadership in renewable energy is a great example for other universities and businesses across the country.”

For more information on Advanced Energy’s Solaron inverter solutions, please visit www.aesolaron.com.

About Advanced Energy

Advanced Energy is a global leader in innovative power and control technologies for high-growth, thin-film manufacturing and solar-power generation. Advanced Energy is headquartered in Fort Collins, Colorado, with dedicated support and service locations around the world. For more information, go to www.advanced-energy.com.

This news release may contain forward-looking statements that involve risks and uncertainties, which may cause actual results to differ materially from the statements made. Please refer to the company’s SEC reports for a listing of such factors.

For more information, contact:

Advanced Energy Celebrates Grand Opening of New Production Facility Dedicated to Solar Technology

Expands Advanced Energy’s Solaron^® PV Inverter Manufacturing Capacity in Response to Market Adoption

FORT COLLINS, Colo., Dec. 16, 2009—Advanced Energy Industries, Inc. (NasdaqGM: AEIS), today announced the grand opening of a new production facility in Fort Collins, Colorado. The state-of-the-art, 48,000 square-foot facility was designed to meet emerging trends in the solar industry. The facility includes design and development capabilities focused on next-generation solar inverter technology, as well as a scalable manufacturing model to meet the growing demand for its products. The new production facility is currently configured to produce 250 megawatts of Solaron^® PV grid-tie inverter products annually and is expandable to a capacity of more than one gigawatt. The company is marking the opening of the facility with a special celebration at the new site later today.

Hans Betz, president and CEO, said, “Our investments in solar technology and operational excellence have resulted in the award-winning Solaron inverter product line, which is already delivering compelling benefits for our customers. These products, combined with the company’s service and support leadership, have garnered strong customer satisfaction by significantly reducing the levelized cost of energy (LCOE). This new investment in expanded manufacturing capacity demonstrates our commitment to the renewable energy business and our confidence in future growth.”

Doug Hutchinson, mayor of Fort Collins, noted, “It is exciting to see one of our local companies successfully diversify into the renewables industry. Clean energy is a key element of Colorado’s economic future, and the innovations developed by Advanced Energy and others in the region will put us at the forefront of the new energy economy.”

For more information on Advanced Energy’s Solaron inverter solutions, please visit www.aesolaron.com.

About Advanced Energy

Advanced Energy is a global leader in innovative power and control technologies for high-growth, thin-film manufacturing and solar-power generation. Advanced Energy is headquartered in Fort Collins, Colorado, with dedicated support and service locations around the world. For more information, go to www.advanced-energy.com.

Advanced Energy^® and SunEdison^® Announce Commercial Agreement for Solaron^® Inverter Solutions

FORT COLLINS, Colo., December 3, 2009—Advanced Energy^® Industries, Inc. (NasdaqGM: AEIS) announced today that it has entered into a commercial agreement with SunEdison^®, a leading solar-energy services provider. The agreement includes Solaron^® grid-tie, photovoltaic (PV) inverters, as well as complete product life-cycle services.

“AE is honored to work with a premier solar-energy company such as SunEdison,” noted Dr. Hans Betz , president and CEO of Advanced Energy. “This commercial agreement is another important milestone for our PV inverter solutions, and demonstrates the value that our expertise brings to leading, utility-scale customers in the solar-energy marketplace.”

SunEdison’s vice president of engineering procurement and construction, Jason Stevens, noted, “SunEdison is proud to be working with Advanced Energy as one of our choice suppliers. Advanced Energy has an outstanding reputation with their high efficiency Solaron PV inverter line and we look forward to working with them under this new supply agreement.”

For more information on Advanced Energy Solaron inverter solutions, please visit www.aesolaron.com.

About Advanced Energy^®

Advanced Energy is a global leader in innovative power and control technologies for high-growth, thin-film manufacturing and solar-power generation. Advanced Energy is headquartered in Ft. Collins, CO, with dedicated support and service locations around the world. For more information, go to www.advanced-energy.com

For more information, contact:

Advanced Energy^® Introduces the Solaron^® 250 Photovoltaic Inverter

AE's American-built 250 kW inverter ideal for commercial rooftop installations

About Advanced Energy

Advanced Energy is a global leader in innovative power and control technologies for high-growth, thin-film manufacturing and solar-power generation. Specifically, AE targets solar grid-tie inverters, solar cells, semiconductors, flat panel displays, data storage products, architectural glass and other advanced applications.

AE operates in regional centers in North America, Asia and Europe and offers global sales and support through direct offices, representatives and distributors. For more information, go to www.advanced-energy.com

This news release may contain forward-looking statements that involve risks and uncertainties, which may cause actual results to differ materially from the statements made. Please refer to the company's SEC reports for a listing of such factors.