FOSTER WHEELER ANNOUNCES RETIREMENT OF RICHARD J. SWIFT, CEO

CLINTON,  NJ,  April  2,  2001 - Foster  Wheeler  Corporation  (FWC:NYSE)  today
announced that Richard J. Swift,  its Chairman,  President,  and Chief Executive
Officer has indicated his intention to retire by the end of 2001.

"Dick will continue to guide the operations of the company until his retirement,
to ensure a smooth  transition  while a search  is  conducted  by the  executive
search firm Spencer Stuart," said Board member Joseph J. Melone.  "Both internal
and external candidates will be considered."

"Foster Wheeler has an outstanding reputation in our industry, and is especially
known for innovation and quality  throughout the world.  The Board of Directors,
together with the management team, have positioned the company to take advantage
of the  improving  business  climate in the  markets  we serve.  With the energy
crisis in California,  and potentially  elsewhere,  the business environment for
Foster Wheeler's clean coal technology and other power  generation  equipment is
particularly  positive. In view of these circumstances,  and my desire to retire
and pursue new challenges,  I wanted to seize this opportunity,  and, by the end
of the year,  confidently  pass the reins to a  successor  chosen by the Board,"
said Mr. Swift.

"During his 27 years with the company, and since his appointment to the CEO post
in 1994,  Dick has been  instrumental  in growing  the energy  equipment  market
segment of the business,  while  successfully  managing our core engineering and
construction  operations,"  added Mr. Melone. "He has also championed the change
of the Company's domicile to Bermuda to enhance the performance of the Company's
global business,  and will lead the Company in seeking shareholder  approval for
this important  matter at the upcoming annual meeting on April 23rd. We are very
much indebted to him for his achievements and are happy that he will continue in
his  executive  capacity  and as a member  of the Board of  Directors  until his
retirement."

The financial  impact of the terms of Mr.  Swift's  retirement  will result in a
charge of approximately 4 cents per share after tax in the second quarter.

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Notes to Editors:

1.   Foster  Wheeler  Corporation  is a global  company  offering,  through  its
     subsidiaries,   a  broad  range  of  design,   engineering,   construction,
     manufacturing,   project  development  and  management,   research,   plant
     operations and environmental  services. The Corporation's  headquarters are
     at Clinton,  N.J.  For more  information  about Foster  Wheeler,  visit our
     World-Wide Web site at www.fwc.

2.   Safe Harbor Statement

     This news release  contains  forward-looking  statements  that are based on
     management's  assumptions,  expectations and projections  about the various
     industries  within which the  Corporation  operates.  Such  forward-looking
     statements by their nature  involve a degree of risk and  uncertainty.  The
     Corporation  cautions that a variety of factors,  including but not limited
     to the  following,  could cause  business  conditions and results to differ
     materially from what is contained in forward-looking statements: changes in
     the  rate  of  economic  growth  in  the  United  States  and  other  major
     international  economies,  changes in investment  by the energy,  power and
     environmental  industries,  changes in regulatory  environment,  changes in
     project  scheduled,   changes  in  trade,   monetary  and  fiscal  policies
     worldwide,   currency   fluctuations,   outcomes   of  pending  and  future
     litigation,  protection  and  validity  of patents  and other  intellectual
     property  rights,  and  increasing  competition  by  foreign  and  domestic
     companies.

MEDIA CONTACTS ONLY:  Alastair Davie  908-730-4444  Rita Kroeber  908-730-4448

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