ALSTOM Capital Increase

ALSTOM announced today the launch of a capital
increase through a rights issue to raise approximately 636
million euros through the issuance of 66,273,064 new
shares.

The capital increase will be carried out through
the issuance of preferential subscription rights to existing
shareholders. Shareholders will be entitled to subscribe 4 new
shares for every 13 shares held on 3rd June 2002. The
subscription price for the new shares has been set at 9.60
euros per share.

This announcement does not constitute an offer to sell, or
a solicitation of offers to purchase or subscribe for,
securities in the United States. The securities referred to
herein have not been, and will not be, registered under the
Securities Act of 1933, as amended, and may not be offered or
sold in the United States absent registration or an
applicable exemption from registration requirements. This
notice is issued pursuant to Rule 135(c) of the Securities
Act of 1933.

Stabilisation/FSA

Contacts

Press enquiries: G. Tourvieille / S. Gagneraud

(Tel. +33 1 47 55 23 15)

internet.press@chq.alstom.com

Investor relations: R. Shaw / E.
Rocolle-Teyssier (Tel. +33 1 47 55 25 78

investor.relations@chq.alstom.com
Internet:
http://www.wcm.alstom.com