ECD Announces a Stock Repurchase Program
19 April 2000
ECD Announces a Stock Repurchase Program
TROY, Mich., April 18 Energy Conversion Devices, Inc.
(ECD)(Nasdaq: ENER) announced today that it is planning to repurchase shares
of its outstanding common stock. The repurchase will be accomplished over
time, depending upon market conditions and other factors, through open market
purchases. ECD anticipates repurchasing up to $5 million worth of its shares.
The company will review the repurchase program periodically.
Stanford R. Ovshinsky, President and CEO, and Robert C. Stempel, Chairman,
in a joint statement said, "In view of ECD's recent significant business
developments and ongoing future business prospects, its strong financial
position, and the current price of the ECD common stock, we believe the
repurchase of our own shares represents an attractive investment which will
benefit ECD and its shareholders." They further noted recent events,
including the following since the beginning of the year:
* The new $84 million joint venture with Bekaert to expand United Solar
Systems Corp.'s manufacturing capacity fivefold with the construction of the
25-megawatt annual capacity plant, to be designed and built by ECD, and the
initiation of a worldwide sales and marketing program.
* The joint venture with General Electric Company, Ovonic Media LLC, to
design, develop, demonstrate and commercialize continuous web roll-to-roll
technology for the ultra-high-speed manufacture of optical media products --
primarily rewritable digital video disks (DVDs).
* The strategic alliance with Intel Capital, which entails an investment
by Intel in Ovonyx, Inc., ECD's joint venture with Mr. Tyler Lowrey, to
commercialize ECD's proprietary non-volatile semiconductor memory technology.
The alliance with Intel also includes the granting of a non-exclusive royalty-
bearing license agreement and a joint development program utilizing one of
Intel's wafer fabrication facilities.
* The completion of the construction of a new high-speed deposition
machine designed and built by ECD for Southwall Technologies Inc. to supply
product for the fast-growing anti-reflective film market for cathode ray tubes
(CRTs) and liquid crystal displays (LCDs).
* The recent featuring of the Company's proprietary next-generation
Ovonic nickel metal hydride (NiMH) batteries in several of the Advanced Hybrid
Technology Demonstration Vehicles shown at the North American International
Auto Show. This new monoblock battery is a compact design which is also under
evaluation for future high-voltage (36-42 volt) automotive electrical systems.
* The start of the Company's successful electric bus demonstration
program in the City of Rome, Italy, where an Ovonic NiMH battery pack replaced
an existing lead acid battery, providing three times the range on a single
charge. This permits continuous operation over an entire shift, eliminating
expensive downtime and labor costs.
* Achievement of ISO 9002 Quality Certification for Ovonic Battery
Company's electrode manufacturing facilities.
ECD is a leader in the synthesis of new materials and the development of
advanced production technology and innovative products. It has pioneered and
developed enabling technologies leading to new products and production
processes based on amorphous, disordered and related materials, with an
emphasis on alternative energy and advanced information technologies. ECD's
web site address is http://www.ovonic.com
This release may contain forward-looking statements within the meaning of
the Safe Harbor Provisions of the Private Securities Litigation Reform Act of
1995. Such forward-looking statements are based on assumptions which ECD, as
of the date of this release, believes to be reasonable and appropriate. ECD
cautions, however, that the actual facts and conditions that may exist in the
future could vary materially from the assumed facts and conditions upon which
such forward-looking statements are based.