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Echelon and Messe Frankfurt GmbH Agree to Key Terms for North American LonWorld™ Events

(San Jose, Calif.-December 13, 2001) - Messe Frankfurt and Echelon Corporation (NASDAQ: ELON) announced today that they have agreed to key terms for extending Messe Frankfurt's stewardship of the LonWorld Tradeshow and Conference to events held in the North American market. Agreeing to key terms paves the way for the two companies to work toward a definitive agreement whereby Messe Frankfurt, one of the world's largest organizers of trade fairs, exhibitions and conferences, will take on organizational, marketing, and fiscal responsibility for North American LonWorld events. Based on the terms, the next LonWorld event will be held on October 31st and November 1st, 2002 in Toronto, Canada co-located with Messe Frankfurt's inaugural ISH North America building show.

"Our experience organizing LonWorld 2001 in Frankfurt this year has shown us that the event has the potential to be very significant," said Horst Niedlich, Messe Frankfurt's vice-president of technical fairs. "The scope of the program, markets, and momentum of the LonWorks® platform lead us to work toward organizing the show every year it is held so that we can maximize its huge potential."

"We're very excited to be working toward a long-term, worldwide stewardship of the LonWorld event," said Frits Bruggink, Echelon's sr. vice president of sales and marketing. "Clearly Messe Frankfurt is the right company to grow LonWorld into a major, world-class, industry event."

About Messe Frankfurt GmbH
In 2000, Messe Frankfurt held over 80 events worldwide that attracted more than three million visitors and generated approximately DM 600 million in revenue. The company markets its events worldwide through subsidiaries in Frankfurt, Atlanta, Sao Paulo, Singapore, Hong Kong, Tokyo, New Dehli, Istanbul and Milan as well as a through a network of 64 sales representatives covering 103 countries worldwide. More information is available on line at http://www.messefrankfurt.com.

About Echelon Corporation
Echelon Corporation is the creator of the LonWorks® platform, the world's most widely used standard for connecting everyday devices such as appliances, thermostats, air conditioners, electric meters, and lighting systems to each other and to the Internet. Echelon's hardware and software products enable manufacturers and integrators to create smart devices and systems that lower cost, increase convenience, improve service, and enhance productivity, quality, and safety. Thousands of companies have developed and installed more than 16 million LonWorks based devices into homes, buildings, factories, trains, and other systems worldwide.

The protocol underlying LonWorks networks and the signaling used by Echelon's power line and free topology transceivers have both been adopted as standards by the American National Standards Institute (ANSI). Echelon is also a founding member of the LonMark® Interoperability Association, an open industry forum of hundreds of leading manufacturers, integrators, and users dedicated to promoting the use of interoperable LonWorks devices. More information is available at http://www.LonMark.org. Further information regarding Echelon can be found at http://www.echelon.com.

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Echelon, LonWorks, LonMark, the LonMark logo, and the Echelon logo are trademarks of Echelon Corporation registered in the United States and other countries. LonPoint, LonMaker, i.LON, and Bringing the Internet to Life™ are trademarks of Echelon Corporation. Other marks belong to their respective holders.

This press release may contain statements relating to future plans, events or performance. Such statements may involve risks and uncertainties, including risks associated with uncertainties pertaining to the timing and level of customer orders, demand for products and services, development of markets for Echelon's products and services, and other risks identified in Echelon's SEC filings. Actual results, events and performance may differ materially. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof. Echelon undertakes no obligation to release publicly the result of any revisions to these forward-looking statements that may be made to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events.

Contact Information

Press Contacts:

 

Steve Nguyen
Echelon Corporation
408-938-5272
qnguyen@echelon.com