Former DaimlerChrysler Executive Richard Schaum to Lead WaveCrest Laboratories Vehicles Group

WASHINGTON, Oct. 21, 2003 -- WaveCrest Laboratories, a leading-edge technology company specializing in electric propulsion systems, today announced that Richard Schaum, a former executive vice president at DaimlerChrysler Corporation and the recently appointed vice president of automotive for the Society for Automotive Engineers, has been named vice president and general manager of vehicle systems for WaveCrest Laboratories.

Schaum, a 37-year veteran of the automotive industry, will oversee development and commercialization of transportation applications involving the company's WaveCrest Adaptive Motor(R) electric propulsion system. A prototype automobile driven by the system, which transforms electrical energy to mechanical motion with unprecedented power and efficiency, will be unveiled later this year.

"We are fortunate to have Rich's vision and expertise as we develop and commercialize our technology for automotive applications," said Joseph Perry, president of WaveCrest Laboratories. "Along with a proven track record of success, Rich brings a high level of passion and energy to our business that will lead WaveCrest into its next phase of growth."

"WaveCrest technology has the potential to make a significant and lasting impact on the automotive industry," said Schaum. "We expect to demonstrate to the world's vehicle makers that the WaveCrest motor will give their automobiles and light trucks exceptional torque and efficiency, enabling vehicles that are cleaner, lighter and more reliable. The WaveCrest adaptive motor will also provide design engineers with the increased flexibility they desire for the hybrid- and fuel-cell propelled vehicles of tomorrow."

Before joining WaveCrest, Mr. Schaum served as executive vice president, product development and quality for DaimlerChrysler Corporation. In this executive committee position, Mr. Schaum oversaw 9,000 employees and a $1.8 billion budget. He led the teams responsible for the development and launch of the Chrysler PT Cruiser, Chrysler/Dodge minivans, Jeep Liberty, Dodge Ram pickup trucks (2003 Motor Trend Truck of the Year), Chrysler Pacifica and Chrysler Crossfire. Previous positions at DaimlerChrysler included senior vice president, engineering and quality, vice president and general manager of powertrain operations, and vice president of quality and serviceability.

Mr. Schaum is a member of the board of trustees of the Detroit Science Center and is active in the Society of Automotive Engineers, having served as the general chairman of the 2003 SAE World Congress before being elected to his current position as vice president of automotive. Other past professional activities have included the Partnership for a New Generation of Vehicles (PNGV), the National Research Council Workshop on Fuel Economy and the Auto/Oil Air Quality Research Planning Task Force.

For more information visit www.wavecrestlabs.com.