Press Release

BAT Announces Coalition to Make Electric Delivery Van

12/10/96

3 BAT Subsidiaries Work Jointly to Introduce Electric Delivery Van

BURBANK, Calif.--(BUSINESS WIRE) -- BAT International (OTC stock
symbol BAAT) and three of its subsidiaries, BAT California, BAT
northeast and Zinc Air Transportation, has formed a coalition to build
a new multi-purpose delivery van for U.S. and international
markets. BAT California is currently undergoing the completion of the
first prototype vehicle at their CALSTART facility in Burbank,
California. The delivery van will be based on a chassis which will be
provided as a "glider" (vehicle without engine & other parts) by China
Motor Corporation (CMC), under a cooperative effort with Lockheed
Martin (see press release 7/24/95). CMC is the largest vehicle
manufacturer in Taiwan and produces five different vehicles for
Mitsubishi including the luxury sedan, "Lancer." The chassis is ideal
for delivery vehicle applications because of its high payload capacity
and three large rear & side doors for entry.

The delivery van will incorporate many advanced technologies including
drive trains, long range batteries, and composite components. BAT and
Kummerow of Germany have formed a joint venture relationship to
commercialize zinc air batteries that led to the formation of the BAT
subsidiary, Zinc Air Transportation.  Successful testing of prototype
cells were completed in July (see press releases 7/16/96,
7/30/96). BAT has signed a purchase agreement for 12,000 cells, which
represents the entire international supply for 1997. The first
production zinc air batteries have arrived at CALSTART for design
integration into the delivery van.  The range of a zinc air battery
vehicle is more than four times the range of a lead acid powered
vehicle and about twice the range of a nickel metal hydride
vehicle. The current cost is approximately $300/kwh, which is already
comparable to advanced lead acid batteries and is 1/10th the present
cost of nickel metal hydride batteries. Projected costs in volume is
about $100/kwh.  The delivery van incorporates a small booster battery
pack for acceleration and provides comparable performance to gasoline
operated vehicles. Various payload and range combinations will be
offered varying from 150 to 300 miles. Zinc air powered vehicles will
only be offered to fleets of 10 or more vehicles because a special low
cost recharging facility is required.  Engineering of the delivery van
allows battery packs to be exchanged in less than 5 minutes.

BAT will also be incorporating its new AC drive system in the delivery
vans (release 11/22). The BAT AC drive is less than half the cost of
other AC drive systems. Yet it is substantially better in performance
as a result of light weight (10 kg for a 50 KW unit), easy maintenance
(self diagnostic features) and numerous safety features (no start if
plugged in or foot on gas, shut off in accident, etc).  The AC system
also provides tremendous programming and integration flexibility, with
up to 110 parameters to control everything from windshield wipers to
ID codes.  There is also a power boost feature (similar to an
after-burner on a jet engine) that can change the wave form of the
electrical pulse and give the vehicle operator an instant 20% increase
in power (with some efficiency loss).

BAT's East Coast subsidiary, BAT Northeast, is currently looking at
possible sites to build electric delivery vans in New York and other
Northeast locations. There may be a very strong market for electric
delivery vehicles in New York as a result of the $1.7 Billion Clean
Air/Clean Water Bond Act, which was recently passed by New York State
voters, and includes $75 million for alternative fuel vehicles. New
York and Massachusetts are both still holding firm on zero emission
vehicle mandates that could require as many as 14,000 vehicles in
Model Year 1998. There are measures being discussed in major Northeast
cities to provide special access to "green curbs" in busy delivery
areas for alternative fuel vehicles. This would also create a very
strong demand.

BAT's first prototype delivery vehicle will be completed in late
January for testing. Multiple units will be available by the end of
April. Several different drive systems and battery options will be
offered including conventional lead acid batteries and long range zinc
air batteries, high performance AC drive systems and lower cost DC
drive systems.

BAT would like to thank General Motors (GM) for all their media
support of the electric vehicle industry. Their $10 million EV1 ad
campaign has generated a tremendous enthusiasm for electric
transportation in the U.S. and BAT is getting numerous inquiries for
vehicles.  We are also seeing a very strong upsurge in demand for
electric vehicles internationally, where some large orders are
currently being discussed.