Horse Power Sales officially withdraws 110 mpg HP2g from Progressive Automotive X PRIZE Competition

Napoleon, OH: June 4, 2009; Horse Power Sales.net, Inc. has officially withdrawn their team and their 1987 Mustang, powered by the revolutionary, 110MPG, V-8, HP2g engine, from the upcoming Progressive Automotive X PRIZE Competition, effective June 4, 2009.

Horse Power’s Team HP2g was initially accepted as an official “letter of intent contender” for the X PRIZE in 2008 but no longer feels it is in the company’s best interests to compete in or be associated with the Progressive Automotive X PRIZE competition.

The reasons for the official withdrawal are: (1) after Team HP2g had been accepted as a letter of intent contender, X PRIZE reduced the prize amount for the Mainstream class of the competition from $7.5 million to $5 million; (2) in our opinion, a problematic conflict of interest occurred when X PRIZE allowed one of the accepted letter of intent contenders to be a part of the competition rule setting and ultimate team evaluation processes; and (3) the changing by X PRIZE of the race date from the summer of 2009 to the summer of 2010 resulted in the race no longer fitting into the business plan and business time line for our company which is moving forward with manufacturing and marketing of the HP2g for 2010 production vehicles.

In making this announcement, Horse Power Sales.net, Inc. President and CEO, Douglas Pelmear, stated: “We have always felt that the real reason for the X PRIZE competition was to help the world. By moving forward with our production plans, we will be doing just that.”

HP2g Specs:                              
V8 Engine 
400 HP (horsepower)
500 Ft. Lbs. Tq. (foot pounds of torque)
110 MPGe (miles per gallon energy equivalent)
E-85 (ethanol fuel)
Made in the USA