Spacehab Subsidiary Secures Spacecraft Processing Task Order

Astrotech Wins Fourth Task Order Option Under NASA Vandenberg Contract

Houston, Texas (June 11, 2008) - SPACEHAB Incorporated, (NASDAQ: SPAB), a provider of commercial space services, today announced that its Astrotech Space Operations subsidiary has won a fourth, fully-funded task order under the $35 million Vandenberg Air Force Base (VAFB) indefinite delivery, indefinite quantity (IDIQ) contract. The Company will provide facilities and payload processing services from its VAFB location in support of NASA's Widefield Infrared Survey Explorer (WISE) Mission scheduled to launch in late 2009.

"This mission is very unique in that the payload employs a hydrogen cryostat system designed to keep the telescope optics and detectors extremely cold,” explains Astrotech Space Operations General Manager, Don M. White, Jr. "Astrotech provides the only VAFB approved facility hydrogen vent system required for this type of operation."

As announced earlier, previous missions won under the VAFB IDIQ contract included the Ocean Surface Topography, Interstellar Boundary Explorer, and Orbiting Carbon Observatory missions. The Ocean Surface Topography Mission is nearing completion of its processing at Astrotech, anticipating a launch on June 15th. With the award of the WISE Mission, Astrotech has now been awarded all four of the NASA VAFB IDIQ Mission awarded to date.

In other Astrotech news, Astrotech has also been awarded a Task Order against the NASA Florida IDIQ contract, in the amount of $2.5M, to process their Lunar Reconnaissance Orbiter (LRO) and Lunar Crater Observation and Sensing Satellite (LCROSS) spacecraft. The LRO/LCROSS mission is expected to launch from Cape Canaveral by the end of the year. Additionally, Astrotech’s Sea Launch operations successfully supported the Galaxy 18 communications satellite processing, leading to a successful launch by Sea Launch on May 21, 2008.

From Titusville, Florida, Vandenberg Air Force Base, California and the Sea Launch Home Port facilities in California, Astrotech provides all support necessary for government and commercial customers to successfully process their satellite hardware for launch, including advance planning; use of unique facilities; and spacecraft checkout, encapsulation, fueling, transport, and remote control through launch.