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ECD Announces Formation of Sanoh Ovonic Power Systems

12 December 1997

ECD Announces Formation of Sanoh Ovonic Power Systems

    ORLANDO, Fla., Dec. 12 -- Energy Conversion Devices, Inc.
("ECD") announced today that its subsidiary, Ovonic Battery
Company, Inc. ("Ovonic Battery"), and Sanoh Industrial Co., Ltd. ("Sanoh") of
Japan have established Sanoh Ovonic Power Systems Corporation ("Sanoh
Ovonic"), a joint venture for the manufacture and sale of Ovonic nickel metal
hydride (NiMH) batteries for electrically-powered two- and three-wheeled
vehicles, in accordance with a previously-announced agreement.  ECD and Ovonic
Battery, the inventors and developers of unique hydrogen storage principles
and materials, originated the proprietary rechargeable NiMH battery
technology.
    Sanoh Ovonic will now begin launching a market development program under
which two- and three-wheel vehicle manufacturers in Europe are going to
participate in field test programs.  Sanoh Ovonic has aggressive plans for
mass production of a family of Ovonic NiMH batteries to serve the European
market and will begin the planning and engineering of a manufacturing facility
to be located in Europe.
    Sanoh is a leading Japanese automotive parts company with worldwide
operations and plants in the United States, Japan, Mexico and other countries.
Sanoh has a license from Ovonic Battery to produce NiMH batteries for two- and
three-wheeled vehicles in Japan.  Sanoh is currently producing NiMH batteries
at its plant in Koga, Japan.
    Separately, Ovonic Battery announced that it will showcase a family of
batteries and several Ovonic NiMH battery-powered vehicles, including
two-wheelers, at the International Electric Vehicle Symposium (EVS-14) at
Disneyworld in Orlando, Florida beginning on December 13, 1997.
    ECD is a leader in the synthesis of new materials and the development of
advanced production technology and innovative products.  ECD has pioneered the
development of products and production technology based on amorphous,
disordered and related materials, with an emphasis on alternative energy and
advanced information technologies.  ECD's web site is http://ovonic.com.

SOURCE  Energy Conversion Devices, Inc.