A123Systems Appoints Robert Johnson as Vice President and General Manager of Energy Solutions Group

WATERTOWN, Mass. January 22, 2008: A123Systems, developer and producer of patent-pending Nanophosphate™ lithium ion batteries, today announced the formation of its Energy Solutions Group (ESG). Robert Johnson will join A123Systems as VP of and GM of ESG, leaving his role as Senior Vice President, President North America at APC-MGE, a $3 billion in revenue global provider of critical power and cooling services.

ESG will be in charge of the design and development of advanced energy systems including stationary energy storage solutions that improve and enhance the efficiency of the electric grid in order to address the growing demand for alternative energy generation, in an effort to reduce CO2 emissions and meet renewable portfolio standards. The group will also oversee all lithium ion solutions for heavy duty, rail and mass transit applications as well as battery solutions for engine start in aviation. Additionally, ESG will supervise the company’s aftermarket lithium ion products designed to improve fuel economy such as the acclaimed Hymotion battery range extender modules planned for launch this spring.

A123Systems’ growing portfolio of power tool and passenger automotive lithium ion products will continue to be distributed through the company’s existing value added channels and partners.

“The formation of the Energy Solutions Group enables us to continue our strategy of developing game changing technology by creating a strong, centralized group that will manage some of our most cutting edge product offerings,” said David Vieau, CEO and President of A123Systems. “We are excited to have Rob join our fast growing company.”

As Senior Vice President, President North America at APC-MGE, Johnson led all North American operations. Prior to the formation of APC-MGE, resulting from the Schneider Electric acquisition of American Power Conversion Corporation (APC), Johnson served as President and CEO of APC. In his new role at A123Systems, he will report directly to President and CEO David Vieau, with whom he worked at APC. Johnson will be joined by Bud Collins, formerly Vice President of Packs and Systems at A123Systems, who will serve as Vice President of Engineering.

“A123Systems’ battery technology is changing every industry in which it is introduced, making this a thrilling time to join and lead efforts for all of the company’s integrated systems,” explained Johnson. “Having worked with Dave and Bud in the past, I know that I have joined a strong team of innovators striving to bring superior products to market and I look forward to continuing that tradition in my new role.”

Products already under development that will continue under the ESG umbrella include the large integrated energy storage solutions that power the BAE Systems’ HybriDriveŽ Propulsion System for use in the 2008 and future models of the Daimler Orion VII, the world’s number one selling hybrid transit bus, as well as advanced stationary solutions and aftermarket automotive products such as the Hymotion L5 module, a battery range extender module scheduled for commercial launch this spring.

“While A123Systems is already the world’s largest manufacturer of high power Nanophosphate lithium ion cells, with the creation of this new division we are enhancing our capabilities in order to meet and exceed our customers’ needs,” added Vieau.

About A123Systems

A123Systems is one of the world’s leading suppliers of high-power lithium ion batteries. The company’s patent pending Nanophosphate™ technology enables its batteries to deliver a previously unattainable combination of power, safety and life. Applicable to a wide range of industries, A123Systems’ products remove many traditional technology constraints to provide OEMs expanded flexibility in system design. With world-class expertise and management, global manufacturing operations and one of the largest automotive lithium ion R&D teams, A123Systems’ and its Automotive Class Lithium Ion™ products are accelerating the automotive movement towards platform electrification. Founded in 2001 and headquartered in Massachusetts, A123Systems’ proprietary nanoscale electrode technology is built on initial developments from the Massachusetts Institute of Technology. A123Systems' Advanced Research & Government Solutions Division in Ann Arbor, Michigan is nationally recognized for new materials development and cutting-edge research. For additional information please visit www.a123systems.com.