Arotech to Develop Three Prototype Lithium Batteries for Hybrid Electric Vehicles

Arotech Corporation announced today that its Battery and Power Systems Division has received an order to develop prototypes for a lithium battery for hybrid electric vehicles.

The order to develop three prototype batteries was placed by an unnamed German automotive supply company. The first prototypes are due to be delivered in the first quarter of 2013.

This contract marks Arotech's entry into the fast-growing field of hybrid electric vehicles. Through the end of September 2012, more than 5.2 million hybrid electric vehicles had been sold worldwide.

Arotech has substantial know-how in large format battery technology, having in the past, under its Electric Fuel name, successfully developed zinc air batteries that powered electric vehicles more than 250 kilometers in a single discharge.

"This is our second notable contract for large format lithium ion, and represents a strategic step to balance our significant and growing business in the military power sources market," noted Arotech Chairman and CEO Robert S. Ehrlich. "Having learned important lessons from our previous foray into the electric vehicle market, we are determined to minimize risk by only undertaking profitable projects," continued Ehrlich. "We believe that between grid storage and electric vehicles there is significant promise for large format lithium ion. With our extensive know-how in lithium batteries and their power management, this is the ideal time for us to enter this emerging market," concluded Ehrlich.

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