Air Products’ Hydrogen Fueling Technology to Power Nestlé Waters’ Warehouse Forklift Conversion

LEHIGH VALLEY, Pa. – Air Products (NYSE: APD), a global leader in hydrogen fueling and infrastructure, today announced the signing of a long-term agreement with NestléWaters North America, Inc. to supply hydrogen and hydrogen fueling station technology for Nestlé’s Dallas, Tex. facility, where it will be used to fuel a fleet of approximately 32 Class I hydrogen fuel cell powered forklifts to be used in daily operations. Nestlé Waters is in the process of expanding its bottling and warehousing operations in Dallas and is converting its materials handling equipment to hydrogen fuel cell forklifts. The fueling station is to be installed and operational during the second quarter of 2009.

“This is a leading edge decision made by NestléWaters to convert its materials handling system and use hydrogen as an energy carrier. It is a move that will provide operational, economic and environmental benefits for this bottling facility. Hydrogen fueling technology for materials handling applications is proven and cost-effective,” said Tom Joseph, business development manager for Hydrogen Energy Systems at Air Products. “This project also further strengthens our collaboration with Plug Power in providing alternative energy solutions.”

“This project is consistent with our commitment to environmental stewardship and sustainable ‘green’ solutions for which Nestlé Waters North America, Inc. aspires. I continue to be encouraged by the enthusiastic support from the front lines to senior leadership to introduce this capability and explore the responsible alternative energy options,” said Christopher Lyon, process improvement manager for Nestlé Waters Fleet Services. “We look forward to this site proving the viability of future conversions.”

“The new hydrogen fueling association with Nestléis an extension of existing business relationships in supplying industrial gases and services to a familiar customer,” said Todd Geis, strategic account manager at Air Products. “We’ve been providing industrial gases and related services to Nestléat other locations around the United States for nearly 20 years. Hydrogen fueling, which is using our liquid hydrogen as its feed at this site, is an innovative offering that in the eyes of the customer sets us apart from our competition.”

Air Products’ fueling infrastructure at Nestléincludes an outdoor liquid hydrogen storage and compression system, along with multiple indoor fueling dispensers for operator refueling. Air Products’ will fuel the fleet of new lift trucks fitted with Plug Power’s (NASDAQ: PLUG) GenDriveTM hydrogen fuel cell power units. The GenDrive systems can be quickly refueled by the lift truck operator in less than five minutes, completely eliminating the need to change, store, charge and maintain multiple lead acid batteries per lift truck.

There are many advantages to using hydrogen powered forklifts and other materials handling equipment. Hydrogen fuel cell-powered equipment needs refueling once or twice daily, depending on use. In contrast, traditional battery-powered equipment must be placed temporarily out of operation for battery replacement and required battery recharging approximately every four to six hours. Hydrogen fuel cell-powered equipment provides consistent power strength during use and do not experience decreased performance or wear down as traditional lead-acid battery units do as they near a required battery change out or recharge time. Additionally, hydrogen fuel cell forklifts are not adversely impacted by temperature or by operating in coolers and freezers, in comparison to traditional battery performance. Further, hydrogen-powered fuel cell equipment is moreenvironmentally friendly because they do not involve lead-acid battery storage and disposal issues.

This announcement follows closely Air Products’ recent news of its hydrogen fueling project at the Defense Distribution Depot Susquehanna Pennsylvania (DDSP) in New Cumberland, Pa., where it is powering a fleet of 40 of Plug Power’s GenDrive hydrogen fuel cell powered forklifts used in daily warehouse operations. Additional related materials handling projects powered by Air Products’ hydrogen technology include installation of indoor hydrogen fueling infrastructure to fill a fleet of over 200 fuel cell powered lift trucks, working with Plug Power and Yale Equipment Services, which will operate at Central Grocers’ new distribution center in Joliet, Illinois in 2009, and similar work at a grocery chain warehouse in Texas since 2007, and manufacturing and assembly plants in Tennessee and South Carolina since 2006.

Air Products, the leading hydrogen supplier to refineries to assist in making cleaner burning transportation fuels, has completed over 85,000 hydrogen fills and has placed over 90 hydrogen fueling stations in the United States and 16 countries worldwide. Cars, trucks, vans, buses, scooters, forklifts and other materials handling equipment, and even submarines, have been fueled with this trend-setting technology that involves Air Products’ know-how, equipment, and hydrogen, and use of the technology is increasing at over 2,500 hydrogen fills per month. Air Products provides liquid and gaseous hydrogen, and HCNG (hydrogen/compressed natural gas) fueling, and has developed a variety of enabling devices and protocols for fuel dispensing at varied pressures. Hydrogen for these stations is delivered to a site via truck, by on-site natural gas reformation, and by electrolysis, including electrolysis that is solar and wind driven.

Air Products has more than 50 years of hydrogen experience and is on the forefront of hydrogen energy technology development. Air Products has an extensive patent portfolio with over 50 patents in hydrogen dispensing technology. For more information on Air Products’ hydrogen fueling station technologies go to www.airproducts.com/h2energy.