ENERGY STAR Winner Harwood International to Utilize Echelon's LONWORKS® Networks in Next "Smart Building" Enters Into International Purchase Agreement with Echelon

(PALO ALTO, CA. - February 7, 2000) - At the International Air Conditioning, Heating, Refrigeration Exposition (AHR Expo 2000) today, real estate developer Harwood International announced it is using Echelon Corporation's (NASDAQ: ELON) LONWORKS networks in its latest "smart building" under construction in Uptown Dallas.

Phase IV of Harwood International Center will include upgrades that surpass the technologies in the company's cutting-edge Centex building, which received recognition from the U.S. Environmental Protection Agency as a model of energy efficiency. The building has earned the EPA's ENERGY STAR Label and was the first building in the nation to rate the highest possible score - a perfect 99 - on the ENERGY STAR energy efficiency benchmark.

Harwood uses a combination of progressive commercial real estate development practices and cutting-edge technology to create the most energy-efficient buildings in the nation. Key in the development of "smart," energy-efficient buildings is technology that integrates refrigeration, air conditioning, power distribution and other mechanical and electrical systems into a single logical system.

With Harwood International Center's Phase IV, Harwood takes this integration to a new level by utilizing LONMARK® interoperable control products from Invensys Intelligent Building Controls, Echelon's i.LON™ Internet Server and Echelon's LonMaker™ for Windows network management tool. The system features fully open, peer-to peer networking along with seamless Internet connectivity, allowing Harwood to monitor and manage building control systems from any Internet connection.

[an error occurred while processing this directive]"Harwood provides a level of customer service second-to-none in the industry. Our strategy is to leverage the best available technology to directly benefit our customers through lower energy costs and better service," said Doug Walker, president of Harwood Management Services. "Echelon's LONWORKS system and the i.LON Internet Server will allow us to offer expanded service and control capabilities. Managing our facilities from any Internet connection will cut our maintenance costs while increasing the quality and appeal of the environment we provide to our customers."

"Harwood International Center's Phase IV control system is a perfect example of how LONWORKS and our new i.LON Internet server bring the power of the Internet to everyday control systems and devices," said Bea Yormark, vice president of sales and marketing at Echelon.

Harwood International will continue to upgrade its systems as it constructs subsequent phases of the International Center development, which eventually will comprise 10 buildings and more than 4 million square feet of office and mixed-use space. All phases are connected via a skybridge system as part of a Class A campus of buildings and parks.

About Harwood International Based in Dallas, Harwood International, Inc. (formerly Harwood Pacific Corporation) conducts business internationally, including interests and/or projects in Dallas, Beverly Hills, Philadelphia, Zurich, Geneva, London, Buenos Aires, Berlin and Asia. Harwood International provides a complete range of services concentrated in four areas - real estate development, construction management, facilities management and technology. The company's Web site is at www.harwoodinternational.com

Further information can be found at www.echelon.com. Further information about the LONMARK Interoperability Association can be found at www.lonmark.org.

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