VLNC: Valence Technology, Inc.(fka VLNCQ)

[B7$4]

"VLNC News" Valence Technology Appointed Exclusive Battery Supplier for UK Green Bus; Signs Supply Agreement with Optare PLC, a Global Leader in Bus Manufacturing

http://www.marketwatch.com/story/valence-technology-appointed-exclusive-battery-supplier-for-uk-green-bus-signs-supply-agreement-with-optare-plc-a-global-leader-in-bus-manufacturing-2010-05-20?reflink=MW_news_stmp

AUSTIN, Texas, May 20, 2010 (BUSINESS WIRE) -- Valence Technology /quotes/comstock/15*!vlnc/quotes/nls/vlnc (VLNC 1.10, +0.16, +17.02%) today announced the signing of a three-year exclusive supply agreement with Optare PLC /quotes/comstock/23s!e:ope (UK:OPE 5.13, 0.00, 0.00%) , a global leader in the manufacturing of single and double-deck buses and mini coaches. Optare has appointed Valence the exclusive supplier of batteries for its newest zero-emissions fleet bus, the fully electric Optare Solo EV. The supply agreement represents up to $3.8 million in battery system sales for Valence Technology.

"This appointment of Valence as the exclusive supplier of batteries is a testament to the quality and proven performance of our dynamic energy systems. More automotive manufacturers are choosing Valence Technology to help make their vision of clean urban transportation a practical reality," said Robert L. Kanode, president and CEO, Valence Technology. "And thanks to the UK Government's Green Bus Fund, bus manufacturers are striving to meet stringent carbon reduction quotas while allowing riders to breathe cleaner air by putting more zero-emissions bus fleets on the road."

The Optare Solo EV bus features a 600-Volt Valence Technology U-Charge(R) lithium phosphate battery system that powers the electric drivetrain. Housed on either side of the centrally mounted drivetrain, the Valence Technology advanced battery banks provide a total capacity of 85 kWh and can be recharged through regenerative braking while in transit, and plug-in power while at base.

Compared to fleet vehicles powered by traditional fuels, the Optare Solo EV electric buses stand to save local governments significant costs in routine maintenance each year.