1. Who is Electro Energy, Inc. (EEI)?

EEI: EEI is a developer and producer of advanced rechargeable batteries and related systems.  Through its proprietary wafer cell technology and domestic high volume cell manufacturing EEI has positioned itself to meet the short-term and long-term energy storage needs of the present and emerging transportation, consumer, stationary markets, and military markets.   

2. What is the wafer cell technology?

EEI:  The wafer cell is a unique, patented flat packaging concept for rechargeable battery cells that EEI has adapted to the NiMH and Li-Ion chemistries.  It has the advantage of reduced weight and volume through the elimination of bulky inter-cell connections.  A wafer cell battery system is approximately 25% smaller than competing systems.   

3. How do your NiMH batteries differ from conventional proven NiMH technology?

EEI: EEI’s wafer cell NiMH, operates in a bipolar configuration when stacked in a battery module.  This results in more effective packaging, with reduced weight and volume, as well as increased power capability.  It utilizes the conventional NiMH chemistry and therefore is able to take advantage of proven electro-chemical technology developed by the industry over the past 20 years.   

4. How does the ability to leverage the existing known technology help Electro Energy bring its product to market?

EEI: When NiMH technology was first introduced there was a significant learning curve to develop the chemistry to optimize the cell performance.  With the optimization that the industry has been able to produce there is little need for exhaustive research.  Our need is simply to adjust the available options to work well in our design.  We are making excellent progress in that area. 

5. What is the present status of the wafer cell NiMH and Li-Ion product development?

EEI:  EEI presently has a contract with the Department of Energy, through Sandia National Laboratories, to develop a distributed energy stationary battery system to be used by utility companies.  By the end of the contract, EEI will be delivering a 600 V, 13 kWh Inverter battery system using the wafer cell bipolar NiMH.  The unit will be delivered and tested by the Electric Power Research Institute (EPRI).   

Electro Energy has also developed an aftermarket hybrid electric vehicle to plug-in hybrid electric vehicle conversion kit.  The present design utilizes a wafer cell NiMH battery, which will be followed by a next generation wafer cell Li-Ion design.  EEI is pursing funded demonstration and conversion programs and strategic relationships within the automotive industry.   

EEI has also had contracts with the US military to develop wafer cell NiMH and Li-Ion battery technologies for aircraft technologies for various applications.   

EEI is in the process of building prototype modules and systems to various customers for evaluation.   

6. What are you doing to facilitate and accelerate movement from the Product Development activities to commercial production of wafer cell NiMH and Li-Ion products?

EEI:  The purchase of the manufacturing facility in Gainesville provides infrastructure to support establishing electrode production lines, and battery assembly operations in concert with our Lithium Ion capability.  We are moving rapidly to put the necessary resources in place. 

7. Discuss the status of the Gainesville manufacturing facility.

EEI:  The production equipment is operational and the output is being evaluated through our internal testing, certification, and qualification process. Samples are being prepared for shipment expected in the near future to target customers for their testing, certification, and qualification.   

8. What are the company plans?

EEI:  Initially we expect the 18650 rechargeable lithium ion cell market will result in a revenue stream of good size, gradually ramping up to a full pant capacity of 3 million cells per month.  At the same time, EEI will continue the development and commercialization of the wafer cell technology, focusing on emerging large format applications, such as the rapidly growing transportation market.  In addition to utilizing funds from revenue, government and commercial development programs, and demonstrations, this effort will require additional funding, which we expect to secure.   

9. What has gated the progress of Electro Energy to date and what will gate progress going forward?

EEI:  The answer is the same to both questions.  We need to obtain sufficient funding to support gathering the right resources for enough time to become successful without having to slow down work as we raise capital. 

10. EEI recently participated in the Green Transportation Expo in Washington, D.C.  Discuss the event and the exposure that EEI got from it.

EEI:  The Green Transportation Expo was well attended by multiple companies in the electric vehicle market, including scooters and bikes, small automobile makers, and large OEM automotive companies.  EEI made many contacts within these groups identify potential customers for both NiMH and Li-Ion batteries.  The event was also attended by congressional personal and aides, as well as media.   
 

Certain statements in this interview may contain forward-looking information within the meaning of Rule 175 under the Securities Act of 1933 and Rule 3b-6 under the Securities Exchange Act of 1934, and are subject to the safe harbor created by those rules. All statements, other than statements of fact, included in this interview, including, without limitation, statements regarding potential future plans and objectives of the companies, are forward-looking statements that involve risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Factors that could cause actual results to differ materially from those in the forward-looking statements include, among other things, the following: general economic and business conditions; competition; unexpected changes in technologies and technological advances; ability to commercialize and manufacture products; results of experimental studies; research and development activities; changes in, or failure to comply with, governmental regulations; and the ability to obtain adequate financing in the future. This information is qualified in its entirety by cautionary statements and risk factors disclosure contained in certain of Electro Energy Inc.’s Securities and Exchange Commission filings available at http://www.sec.gov.