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FOR IMMEDIATE RELEASE

SPACEHAB SUBSIDIARY AWARDED NEW CONTRACT
Astrotech Expands Business Base In Government Sector

Houston, Texas, April 10, 2003 - SPACEHAB, Incorporated (NASDAQ/NMS:
SPAB), a leading provider of commercial space services, today
announced that its Astrotech Space Operations subsidiary has been
awarded a new contract by NASA/Kennedy Space Center to provide
payload processing support services at its Titusville, Florida
facility for two NASA-scientific payloads scheduled for launch in
2004. 

New Markets

Previously serving primarily the commercial space sector, Astrotech
will be supporting NASA in the processing of the NASA MESSENGER and
Deep Impact spacecraft. These four-meter class spacecrafts will be
processed in Astrotech's Florida facility, further utilizing existing
capacity of its 62-acre tract complex dedicated to spacecraft
processing and payload storage. The missions are scheduled for launch
in March 2004 and December 2004 onboard Boeing Delta II launch
vehicles from Cape Canaveral Air Force Station (CCAFS).

"We are very excited to have the opportunity to support NASA payloads
at our Florida facility, thereby expanding our efforts into this
exciting segment of the spacecraft market," stated John B. Satrom,
Senior Vice President and General Manager of Astrotech. "We are
actively discussing opportunities with potential customers for other
government missions at both the Astrotech Florida and Vandenberg Air
Force Base facilities." 

For more than a decade, Astrotech has been the leading provider of
payload processing services to the commercial satellite industry and
is projecting an increase in business activity at all three of its
operating locations during the Company's coming fiscal year,
including further growth in the government sector. Astrotech has
long-term commercial contracts for payload processing services in
place with The Boeing Company (NYSE: BA), Lockheed Martin (NYSE:
LMT), and United States Sea Launch in support of the Atlas, Delta,
and Sea Launch programs respectively. 

Current Operations

Launch processing preparations are currently ongoing at the Astrotech
Florida facility for two upcoming missions. The Asiasat-4 spacecraft,
built by Boeing Satellite Systems (BSS), is scheduled to launch April
10, 2003 on an Atlas IIIB launch vehicle from CCAFS. After reaching
its final orbit, the spacecraft will provide broadcast,
telecommunications, and broadband multimedia services to the Asia
Pacific region and direct-to-home broadcast services to Hong Kong.

Astrotech is also supporting the processing of the HellasSat
spacecraft, built by Astrium. Owned by the HellasSat Consortium, a
joint Greek-Cypriot venture, this spacecraft is the first commercial
satellite owned by a Greek company. One of the primary missions of
the new satellite is to provide broadcast coverage for the 2004
Summer Olympic Games in Athens. The spacecraft will be launched on
the second Atlas V in early May 2003. 

Astrotech recently completed processing support for two missions at
its Vandenberg Air Force Base facilities in California, the tandem
ICESat/CHIPSat mission for NASA, and the U.S. Air Force Coriolis
spacecraft under contract to Spectrum Astro. Astrotech has already
secured one contract for satellite processing support at Vandenberg
during the next twelve months, with active contract opportunities for
at least two additional government missions during this period.

About SPACEHAB

With more than $100 million in annual revenue, SPACEHAB, Incorporated
(www.spacehab.com) is a leading provider of commercial space
services. The Company develops, owns, and operates habitat and
laboratory modules and cargo carriers onboard NASA's Space Shuttles
for space station resupply and research purposes. Its Johnson
Engineering subsidiary provides Space Station and Space Shuttle
support services including orbiter crew compartment integration,
stowage, and configuration management to NASA's Johnson Space Center
in Houston. SPACEHAB's Astrotech subsidiary provides commercial
satellite processing services at facilities in California and
Florida. Additionally, through The Space Store, Space Media provides
space merchandise to the public and space enthusiasts worldwide
(www.thespacestore.com).

This release contains forward-looking statements that are subject to
certain risks and uncertainties that could cause actual results to
differ materially from those projected in such statements. Such risks
and uncertainties include, but are not limited to, whether the
Company will fully realize the economic benefits under its NASA and
other customer contracts, the timing and mix of Space Shuttle
missions, the impact of the recent Columbia tragedy on the Company's
existing and future business operations, the amount of any
indemnification payments the Company may receive for its RDM, which
was lost as part of the Columbia tragedy, the successful development
and commercialization of new space assets, technological
difficulties, product demand, timing of new contracts, launches and
business, market acceptance risks, the effect of economic conditions,
the impact of war, uncertainty in government funding, the impact of
competition, and other risks detailed in the Company's Securities and
Exchange Commission filings. The Company assumes no obligation to
update these forward-looking statements. 

For more information, contact:

Haris Tajyar
Managing Partner
Investor Relations International
Phone 818.981.5300
Fax 818.981.5303
htajyar{at}irintl.com Julia A. Pulzone
Chief Financial Officer
SPACEHAB, Inc. - Washington Office
Phone 202.488.3500
Toll free 888.647.9543
pulzone{at}hqspacehab.com

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