Quantum Subsidiary Awarded Significant Contract for Parts Distribution for New OEM Vehicle Platform

IRVINE, Calif., May 2, 2005 -- Quantum Fuel Systems Technologies Worldwide, Inc. , today announced that its subsidiary, Tecstar Automotive Group, was awarded a major contract to distribute OEM-level parts for a new vehicle platform that will potentially generate up to $25 million in revenues per year.

This launch comes on the heels of the recent expansion of its distribution program announced last month where Tecstar is utilizing a portion of Quantum's existing 5.2 acre Southern California facility located in Irvine.

In order to support this new business, which compliments the current parts business, Tecstar will double its warehouse and distribution space in Livonia, Michigan, to 80,000 square feet.

With this diversification on this new, smaller, and more efficient vehicle, Tecstar anticipates continuous expansion in its support of its customers' objectives to market exciting and personalized new products.

Since beginning this operation, the Tecstar PDC (Product Distribution Center) has shipped over 1.5 million pieces with an on time delivery performance of over 99.6%, which places Tecstar as one of the top performing distribution centers for the OEMs.

"We are pleased to have been awarded this new program. The complimentary nature of this expansion allows us to better serve our customer by managing the logistics for two vehicle platforms from one location," said Jeff Beitzel, COO of Quantum.

About Quantum

Quantum is a leader in powertrain engineering, system integration and manufacturing of packaged fuel systems and accessories for specialty vehicles and applications including fuel cells, hybrids, alternative fuels, hydrogen refueling, new body styles, mid-cycle vehicle product enhancements and high performance engines and drive trains for OEMs and consumers of aftermarket parts and accessories. Quantum also designs and manufactures hybrid and fuel cell vehicles.

Quantum has product commercialization alliances with General Motors, AM General, Sumitomo and IMPCO. Quantum's customer base includes General Motors, Toyota, Opel, Hyundai, Suzuki, Ford, DaimlerChrysler, Sunline, Yamaha, AeroVironment, and the U.S. Army.