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Valence Receives Initial Orders for Lithium-ion Polymer Cells

3 October 2000

Valence Receives Initial Orders for Lithium-ion Polymer Cells for Use In Automotive Telematics

    HENDERSON, Nev., Oct. 3 Valence Technology Inc.
, a leader in the development and commercialization of lithium
polymer rechargeable batteries, has reached an agreement to supply polymer
cells to a US based supplier of "telematics" systems which will provide GPS
tracking and mobile telecommunications.  The initial order is for 100,000
cells, and includes a letter of intent for a minimum of 200,000 additional
cells over the next 12 months.
    Valence polymer cells have met the requirements for such harsh
environments and provided a design solution, which was small, thin and light
weight.  Telematics systems provide onboard electronics networks for
automotive applications such as GPS tracking, communications, mobile data and
entertainment systems.
    Lithium-ion polymer technology enables leading edge electronics
applications such as telematics to be designed without compromise due to the
Valence Technology lithium-ion polymer advantage which delivers the required
energy in a changing temperature and rugged environment.
    "Valence's polymer cells enable mobile electronic data systems to perform
reliably under a wide variety of environmental conditions," said Lev Dawson,
Chairman and Chief Executive Officer.  "This new order is a reflection of the
market's continued acceptance of our technology and our goals of expansion
into other markets."