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MISCOR Group, Ltd. News

MISCOR Group Announces New Locomotive Contract with Australia-Based Laing O'Rourke

SOUTH BEND, Ind., March 26 PRNewswire-FirstCall — Industrial services provider MISCOR Group, Ltd. (OTC Bulletin Board: MIGL) today announced its subsidiary, American Motive Power (AMP), has been awarded a contract worth approximately $6 million by the Australian construction and services company Laing O'Rourke for the remanufacture of five freight locomotives at its Dansville, NY location.

AMP, part of MISCOR's industry-leading Repair, Remanufacturing and Manufacturing (RRM) Group, was acquired by MISCOR in January 2008. Since then, AMP has seen its backlog of service work more than triple, growing from approximately $5 million in January 2008 to more than $19 million as of mid- March 2008.

"This contract is a great win for our newest subsidiary, as it continues to grow its backlog and gain industry recognition on a true global scale for its outstanding service and remanufacturing expertise," said John Martell, President and CEO of MISCOR. "This contract also validates our strategic growth initiatives as it marks a significant increase in our international presence and will help bolster our service platform as we continue to pursue additional overseas opportunities."

MISCOR noted that the selected locomotives will undergo an extensive remanufacturing process, including the installation of state-of-the-art microprocessors which will improve operating performance and reduce the cost of ongoing maintenance. In addition, the locomotives will be the beneficiaries of a number of enhancements to deal with the extreme desert conditions they will be subjected to in Saudi Arabia. The Company also said it will provide on site technical support and training in Saudi Arabia to support ongoing maintenance and operation of the locomotives.

"Our customer-oriented culture and industry-leading capabilities in remanufacturing, including the ability to modernize locomotives with the latest technology and our ability to work on a tight schedule were some of the key factors to winning this contract," concluded Rich Tamborski, Executive Vice President and COO of MISCOR and President of AMP. "We continue to believe that American Motive Power was a critical acquisition and will be a profitable business for us in the long-term, especially as we continue to increase our backlog and grow internationally."

The remanufactured locomotives will be headed to Saudi Arabia this fall and will play a critical role in the transportation of materials, equipment and workers for the ongoing construction of a significant new railroad system running through the An-Nafud wilderness.

About MISCOR

South Bend, Ind.-based MISCOR Group, Ltd. (OTC Bulletin Board: MIGL) provides electrical and mechanical solutions to industrial, commercial and institutional customers through two segments: RRM (repair, remanufacturing and manufacturing) segment, which provides maintenance and repair services for industrial motors, generators and lifting magnets, and diesel engine component manufacturing, remanufacturing and repair services; and CES (construction and engineering services) segment, which provides a wide range of electrical and mechanical contracting services and engineering and repair services for electrical power distribution systems. In 2007, MISCOR entered the wind power industry through its acquisition of 3-D Service, Ltd., providing both onsite and in-shop maintenance and repair services for wind farms. MISCOR was ranked on the Inc. 500 in 2004 and 2005 and has grown to more than 600 employees in 14 locations nationwide.

Forward-Looking Statements

This press release includes "forward-looking statements" within the meaning of the safe harbor provisions of the United States Private Securities Litigation Reform Act of 1995. These forward-looking statements involve certain risks and uncertainties that ultimately may not prove to be accurate. Actual results and future events could differ materially from those anticipated in such statements. For further discussion of risks and uncertainties, individuals should refer to the Company's SEC filings. MISCOR Group, Ltd. undertakes no obligation and does not intend to update these forward-looking statements to reflect events or circumstances occurring after this press release. You are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release. All forward-looking statements are qualified in their entirety by this cautionary statement.

SOURCE MISCOR Group, Ltd.

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