USEC Inc. and B&W Launch American Centrifuge Manufacturing

USEC
Inc. (NYSE: USU) and The Babcock & Wilcox Company (B&W) have
launched American Centrifuge Manufacturing, LLC (ACM) to provide
integrated manufacturing and assembly of centrifuge machines for USEC′s American
Centrifuge Plant in Piketon, Ohio. Based in Oak Ridge, Tenn., ACM
will also provide spare parts and other maintenance support services for
the American Centrifuge Project.

USEC established American Centrifuge Manufacturing, effective May 1, in
concert with the B&W subsidiary Babcock & Wilcox Technical Service
Group, Inc. (B&W TSG).

The company will be housed at USEC′s American Centrifuge Technology and
Manufacturing Center, which has been operated by Babcock & Wilcox
Technical Services Clinch River, LLC since 2007. Approximately 160 B&W
TSG and USEC employees working at the Oak Ridge facility have been
assigned to the new company.

Once the U.S. Department of Energy loan guarantee and other centrifuge
project funding needed to complete the American Centrifuge Plant is
secured and the project is remobilized, the total number of ACM workers
is expected to grow to about 600 as ACM ramps up to the full
manufacturing rate. Overall, the American Centrifuge Project will create
about 8,000 jobs in total, with nearly half of them in Ohio.
Approximately 11,500 centrifuges will be built for final assembly and
installation in Piketon.

Carl Durham, who serves as president of Babcock & Wilcox Technical
Services Clinch River, is now president and general manager of the new
company. Larry Cutlip, who is USEC′s director of centrifuge
manufacturing, is vice president.

'American Centrifuge Manufacturing will be a critical part of the
American Centrifuge Project as it focuses on manufacturing and
delivering high-quality commercial centrifuges,? said Phil Sewell, USEC
senior vice president of American Centrifuge and Russian HEU, and chair
of the ACM Board of Managers. 'Combining USEC′s expertise in centrifuge
technology with Babcock & Wilcox′s decades of manufacturing expertise,
ACM will integrate the activities of multiple suppliers and deliver
finished centrifuge machines to the American Centrifuge Plant on time
and on budget.?

Sewell added that the project will offer national security and
non-proliferation benefits for the United States as a source of supply
to meet defense requirements and to support the U.S. role in assuring
international nuclear fuel supplies are available to countries that
forgo the deployment of sensitive nuclear fuel technologies.

The American Centrifuge is USEC′s next-generation uranium enrichment
technology. It is based on U.S. centrifuge technology, a proven,
energy-efficient technology originally developed by the U.S. Department
of Energy (DOE) and significantly improved by USEC using updated
materials and manufacturing methods.

Working together, USEC and B&W teams have developed a unique domestic
manufacturing capability that ACM will now put into commercial
operations as an integrated joint company.

Technology

American Centrifuge Manufacturing will be one of two major USEC
centrifuge-related initiatives in Oak Ridge. ACM will focus on
manufacturing. A separate group comprised of USEC personnel, located at
USEC′s Centrifuge Technology Center and the East Tennessee Technology
Park, will be the hub for the technology behind the centrifuge program,
serving as the design agent for the project and conducting on-going
machine design, development and testing activities.

The centrifuge technology activity also uses the services of Oak Ridge
National Laboratory employees under a Cooperative Research and
Development Agreement with DOE. These activities have been under way in
Oak Ridge since 2002 and will continue as an integral part of the
American Centrifuge Program.

About USEC Inc.

USEC Inc., a global energy company, is a leading supplier of enriched
uranium fuel for commercial nuclear power plants. On line at www.usec.com.

Forward-Looking Statements

This news release contains 'forward-looking statements? ? that is,
statements related to future events. In this context, forward-looking
statements may address our expected future business and financial
performance, and often contain words such as 'expects,? 'anticipates,?
'intends,? 'plans,? 'believes,? 'will? and other words of similar
meaning. Forward-looking statements by their nature address matters that
are, to different degrees, uncertain. For USEC, particular risks and
uncertainties that could cause our actual future results to differ
materially from those expressed in our forward-looking statements
include, but are not limited to: risks related to the deployment of the
American Centrifuge technology, including risks related to performance,
cost, schedule and financing; our success in obtaining a loan guarantee
from DOE for the American Centrifuge Plant, including our ability to
address the technical and financial concerns raised by DOE and the
timing of any loan guarantee; our ability to reach agreement with DOE on
acceptable terms of a conditional commitment, including the timing of
any decision and the determination of credit subsidy cost, and our
ability to meet all required conditions to funding; our ability to
obtain additional financing beyond the $2 billion of DOE loan guarantee
funding for which we have applied, including our success in obtaining
Japanese export credit agency financing of $1 billion; the impact of the
demobilization of the American Centrifuge Project and uncertainty
regarding our ability to remobilize the project and the potential for
termination of the project; our ability to meet the November 2011
financing milestone and other milestones under the June 2002 DOE-USEC
Agreement; restrictions in our credit facility that may impact our
operating and financial flexibility and spending on the American
Centrifuge Project; risks related to the completion of the remaining two
phases of the three-phased strategic investment by Toshiba Corporation
('Toshiba?) and Babcock & Wilcox Investment Company ('B&W?), including
our ability to satisfy the significant closing conditions in the
securities purchase agreement governing the transactions and our ability
to close on the second phase of the transactions prior to the outside
date of June 30, 2011, and the impact of a failure to consummate the
transactions on our business and prospects; our ability to achieve the
benefits of any strategic relationships with Toshiba and B&W; changes in
U.S. government priorities and the availability of government funding,
including loan guarantees; and other risks and uncertainties discussed
in our filings with the Securities and Exchange Commission, including
our Annual Report on Form 10-K, which is available on our website at www.usec.com.
We do not undertake to update our forward-looking statements except as
required by law.

USEC Inc.

Media:

Paul Jacobson, 301-564-3399

or

Investors:

Steven
Wingfield, 301-564-3354