Continental AG Selects Maxwell Technologies' BOOSTCAP(R) Ultracapacitors for Automotive Voltage Stabilization System

Start of Production for Fuel-Efficient Stop-Start Models Set for 2010

SAN DIEGO, Sept. 22 -- Maxwell Technologies, Inc. announced today that Continental AG, one of the world's leading automotive electronics and mechatronics suppliers, has selected Maxwell's BOOSTCAP ultracapacitors as the energy storage element of a voltage stabilization system (VSS) it has developed for automobiles.

David Schramm, Maxwell's president and chief executive officer, said that Continental's VSS system stabilizes the auto's electrical system and supports stop-start functionality for improved fuel efficiency and reduced emissions. He said that Continental has advised the company to prepare for delivery of initial series production volumes of BOOSTCAP cells for new car models starting in 2010.

"This design win for a high-volume automotive application is another very significant milestone for Maxwell," Schramm said. "As a leading Tier 1 supplier to the auto industry worldwide, Continental can drive very large volumes for our BOOSTCAP products in the years ahead."

Stop-start systems reduce fuel consumption and emissions by shutting off the car's internal combustion engine as the vehicle slows and seamlessly restarting the engine when the driver engages the clutch or touches the accelerator. In the VSS system, the ultracapacitor module provides burst power to re-start the engine, relieving the car's battery of high currents and repeated cycling that can shorten battery life. It also provides a reservoir of power to ensure stable functioning of the vehicle's electrical system when multiple power demands tax the system.

Schramm said that Maxwell is also working with other Tier 1 suppliers, automakers and heavy vehicle OEMs on ultracapacitor-based solutions for other electrical system applications and various hybrid and electric drive systems.

"We continue to focus on penetrating the large and strategically important automotive and transportation markets by aligning ourselves with industry leaders such as Continental and continuously strengthening our design, engineering and production capabilities," Schramm said.

Maxwell Technologies is a leading developer and manufacturer of innovative, cost-effective energy storage and power delivery solutions. Our BOOSTCAP ultracapacitor cells and multi-cell modules provide safe and reliable power solutions for applications in consumer and industrial electronics, automotive, transportation and telecommunications. Our CONDIS high-voltage grading and coupling capacitors help to ensure the safety and reliability of electric utility infrastructure and other applications involving transport, distribution and measurement of high-voltage electrical energy. Our radiation-mitigated microelectronic products include power modules, memory modules and single board computers that incorporate powerful commercial silicon for superior performance and high reliability in aerospace applications. For more information, please visit www.maxwell.com.

Forward-Looking Statements: Statements in this news release that are "forward-looking statements" are based on current expectations and assumptions that are subject to risks and uncertainties. Actual results could differ materially because of factors such as:

  --  development and acceptance of products based on new technologies;
  --  demand for original equipment manufacturers' products reaching
      anticipated levels;
  --  general economic conditions in the markets served by the company's
      products;
  --  cost-effective manufacturing of new products;
  --  the impact of competitive products and pricing;
  --  risks and uncertainties involved in foreign operations, including the
      impact of currency fluctuations;

  --  product liability or warranty claims in excess of our reserves.

For further information regarding risks and uncertainties associated with Maxwell's business, please refer to the "Management's Discussion and Analysis of Financial Condition and Results of Operations" and "Risk Factors" sections of Maxwell's SEC filings, including, but not limited to, our annual report on Form 10-K and quarterly reports on Form 10-Q, copies of which may be obtained by contacting our investor relations department at (858) 503-3434 or at our investor relations website at http://www.maxwell.com/investors/sec-filing.asp. All information in this release is as of September 22, 2009. The company undertakes no duty to update any forward-looking statement to conform the statement to actual results or changes in the company's expectations.