SPACEHAB, INC. RETAINS INVESTOR RELATIONS INTERNATIONAL AS INVESTOR RELATIONS COUNSEL

FOR IMMEDIATE RELEASE

SPACEHAB, INC. RETAINS INVESTOR RELATIONS INTERNATIONAL
AS INVESTOR RELATIONS COUNSEL

Company to Implement New Shareholder Communications Program

Washington, D.C., February 28, 2003 – SPACEHAB, Incorporated (NASDAQ/NMS: SPAB), a leading provider of commercial space services, today announced that it has retained Investor Relations International (IRI) to expand the Company’s strategic investor relations program.

“During the past few years, we have gone through a successful turnaround phase that resulted in growing revenue streams, margin enhancements, the strengthening of our balance sheet, and, as a result, the achievement of profitability, as reported earlier this month,” said Dr. Shelley A. Harrison, Chairman and Chief Executive Officer of SPACEHAB. “Although there is no assurance that this past quarter’s financial results are sustainable in the short-term, we believe we have reestablished SPACEHAB’s potential for longer-term financial and operational growth.”

Continued Dr. Harrison, “We believe the financial community is generally unaware of our recent turnaround and we will look towards Investor Relations International to assist us in developing and implementing a program designed to increase our company’s exposure to existing and potential investors. The agency has an outstanding track record of program successes and we look forward to the increased visibility for SPACEHAB that our relationship will enhance,” concluded Dr. Harrison.

Haris Tajyar, Managing Partner of Investor Relations International, said, “We are excited about working with SPACEHAB, a very unique company that we believe is under-appreciated by investors. The company represents the only pure space play on Wall Street, is significantly undervalued relative to its growth outlook, and is headed by a management team that has expressed a strong commitment to enhancing shareholder value. Our goals are to improve national visibility and sponsorship throughout the financial community, creating a more appropriate market valuation and understanding of the potential of SPACEHAB,” concluded Mr. Tajyar.

To be added to SPACEHAB’s investor e-mail and/or fax lists, please contact Haris Tajyar of Investor Relations International at htajyar@irintl.com.

About Investor Relations International, Inc.

Investor Relations International, Inc. (IRI) www.irintl.com is a full-service investor relations firm serving clients from New York to China. The principals of IRI have received top industry awards for their investor relations programs for a number of high-profile companies, including, but not limited to, Starwood Hotels & Resorts Worldwide (NYSE: HOT), ValueVision Media (Nasdaq: VVTV), Taro Pharmaceuticals (Nasdaq: TARO) and Qiao Xing Universal Telephone (Nasdaq: XING). The firm’s principals have executed effective investor relations programs for dozens of public companies, ranging from emerging micro-cap companies to multinational corporations with market capitalizations in excess of $15 billion. For further information on IRI, please visit the firm’s Website at www.irintl.com.

About SPACEHAB, Inc.

SPACEHAB, Incorporated is a leading provider of commercial space services. The Company develops, owns, and operates habitat and laboratory modules and cargo carriers aboard NASA’s Space Shuttles. Its Johnson Engineering subsidiary provides orbiter crew compartment integration, ISS stowage and configuration management, supports astronaut training, and builds space-flight mockup trainers at 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 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, uncertainty in government funding, the impact of competition, and other risks detailed in the Company’s Securities and Exchange Commission filings.

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