Lime Energy Signs Over $8 Million in Energy Efficiency Contracts

ELK GROVE VILLAGE, Ill., Oct. 7 /PRNewswire-FirstCall/ — Lime Energy announced today it has signed over $8 million in energy efficiency contracts with three of the major financial institutions now in the world. The scope of work includes implementing energy efficient lighting upgrades at a 1.6 million square foot corporate headquarters and over 1,200 bank branches throughout several states. These projects are expected to be completed by year end and yield an aggregate 30% return on investment to our customers after securing over $650,000 in utility incentives. In addition, it is expected these projects will reduce peak demand by over 3.5 megawatts which is enough to power approximately 2,500 homes. This work by Lime Energy is estimated to provide an aggregate $4.6 million per year in energy and maintenance cost savings plus the permanent reduction of 10.5 million kilowatt-hours per year in energy use generating the following estimated environmental benefits each year:

— Avoids the emission of 18.9 million pounds of carbon dioxide, which is believed to be the leading cause of global warming

— Avoids the emission of 240,000 pounds of sulfur dioxide, which is believed to be the leading cause of acid rain

— Avoids the emission of 80,800 pounds of nitrogen dioxide, which is believed to be the leading cause of smog and acid precipitation

— The emissions avoided are the equivalent of removing over 1,600 passenger cars permanently from the road

“These projects highlight the importance of energy efficiency savings,” stated David Asplund, CEO of Lime Energy. “The banking industry is obviously under severe pressure to preserve capital and cut costs so these companies have placed energy efficiency savings as a priority. Our solutions are immediate, verifiable, economical and sustainable so we are honored these leading institutions have partnered with Lime to help them cut costs and improve their facilities.”

About Lime Energy

Lime Energy is a leading provider of energy efficiency solutions that enable our clients to reduce their energy-related expenditures and the impact of their energy use on the environment. Our clients include commercial and industrial businesses, property owners and managers and energy service companies serving government and educational institutions. Our core Energy Efficiency Services business provides energy engineering and consulting services as well as the development and implementation of energy efficiency lighting upgrade services, mechanical and electrical conservation services, water conservation services and renewable energy solutions. Through our Energy Technology business, we also offer a proprietary line of intelligent controllers that provide continuous management of HVAC and lighting equipment using wireless communication technology in order to reduce energy usage and improve system reliability. The company’s stock is traded on NASDAQ under the symbol LIME. Additional information is available at the company’s website at http://www.lime-energy.com/ or by calling 847-437-1666.

FORWARD-LOOKING STATEMENTS

This news release includes forward-looking statements within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 including statements that reflect Lime Energy’s current expectations about its future results, performance, prospects and opportunities. Lime Energy has tried to identify these forward-looking statements by using words and phrases such as “may,”"expects,”"anticipates,”"believes,”"intends,”"estimates,”"plan,”"should,”"typical,”"preliminary,”"hope,” or similar expressions. These forward-looking statements are based on information currently available to Lime Energy and are subject to a number of risks, uncertainties and other factors that could cause Lime Energy’s actual results, performance, prospects or opportunities in 2008 and beyond to differ materially from those expressed in, or implied by, these forward-looking statements. These risks are referenced in Lime Energy’s current Annual Report on form 10-K or as may be described from time to time in Lime Energy’s subsequent SEC filings; and such factors as incorporated by reference.

    Contacts:     Media Relations                    Investor Relations    Sean Gibson                        Glen Akselrod    Bite Communications                Bristol Capital Ltd.    (415) 365-0395                     (905) 326-1888    sean.gibson@bitepr.com             glen@bristolir.com  

Lime Energy

CONTACT: Sean Gibson, Media Relations of Bite Communications,+1-415-365-0395, sean.gibson@bitepr.com; or Glen Akselrod, Investor Relationsof Bristol Capital Ltd., +1-905-326-1888, glen@bristolir.com, both for LimeEnergy

Web site: http://www.lime-energy.com/