Maxwell Technologies Launches 48-Volt Ultracapacitor Module To Ease Integration For Heavy-Duty Transportation And Industrial Applications

Technology Breakthrough Sets New Industry Standards for Energy and Power Density, Cycle Life

DALLAS, Texas– Maxwell Technologies, Inc. (Nasdaq: MXWL) unveiled a compact, fully integrated, 48-volt multi-cell BOOSTCAP® ultracapacitor module for heavy-duty transportation and industrial energy storage and power delivery applications here today at the American Public Transit Association Annual Meeting and EXPO, where it is on display at Booth 3135 with ISE Corporation

Richard Smith, Maxwell’s executive vice president for strategic business development, said that the new BMOD2600-48 module consists of 18 2.7-volt BOOSTCAP MC2600 cells based on a recently announced technology breakthrough that enables the cells and multi-cell modules to store more energy and deliver more power per unit volume and last longer than any other commercially available ultracapacitor products.

“In addition to meeting or exceeding demanding transportation and industrial application requirements for both watt-hours of energy storage and watts of power delivery per kilogram, these products will perform reliably for more than one million discharge-recharge cycles.” Smith said. “The proprietary material science on which they are based also significantly reduces manufacturing cost, positioning Maxwell to achieve our stated goal of pricing large cell ultracapacitors at one cent per farad in multi-million-cell annual volumes.”

Smith said that the 48-volt modules are specifically designed to meet end-user requirements for durability and maintenance-free operation, and have undergone several months of testing and evaluation by selected customers, including ISE, a San Diego-based integrator of hybrid-electric drive trains for buses and other heavy vehicles. David Mazaika, ISE’s president and chief executive officer, said that the beta units’ performance met expectations and was consistent with Maxwell’s specifications.

“ISE introduced ultracapacitor-based drive systems to the heavy vehicle market because they deliver longer operational life and higher braking energy recapture efficiency, resulting in lower fuel consumption and emissions compared with battery-based systems,” Mazaika said. “Availability of the technology in a fully integrated standard package allows us to easily configure energy storage systems with varying voltages to meet the power and energy requirements of a wide range of vehicles.”

The BMOD2600-48 modules are encased in a rugged, splash-proof, aluminum chassis. They weigh 13.5kg and are 13.4 liters in volume (420mm L/200mmT/160mm W). These durable “smart boxes” include temperature and voltage monitoring and internal cell balancing that give designers “plug and play” solutions, plus module-to-module balancing that makes them versatile building blocks for systems with higher voltage requirements. They are priced at $1900.00 each in low volume and $1077.00 in mid-range volume.

In March, Maxwell won a next-generation ultracapacitor cell and module development contract from the United States Advanced Battery Consortium (USABC), an entity formed by DaimlerChrysler, Ford, General Motors and the U.S. Department of Energy (DOE) to strengthen the domestic auto industry’s technology base through cooperative research. Under that contract, Maxwell is eligible to receive more than $3 million in matching funds from DOE through the FreedomCAR initiative that DOE and the Big 3 U.S. automakers established in 2002 to promote new technologies to reduce passenger vehicles’ dependence on petroleum.

Smith noted that, as part of the USABC contract, Maxwell’s MC2600 cells and 48-volt modules are undergoing extensive testing against rigorous auto industry standards for energy capacity, pulse power, abuse tolerance, calendar life and cycle life at DOE’s Sandia and Idaho national laboratories.

“This independent third-party testing will supplement and validate the performance and reliability data that we have been generating internally and through customer beta testing,” Smith said. “The MC2600 cell and BMOD2600-48 module are major stepping stones to penetrating the transportation and industrial markets by providing the advanced, low-cost, energy storage and power delivery technology that these applications require.”

BOOSTCAP ultracapacitors deliver up to 10 times the power and longevity of batteries, require no maintenance and operate reliably in extreme temperatures. In transportation applications, they efficiently recapture energy from braking for reuse in hybrid drive trains, reducing fuel consumption and emissions. They also provide compact, lightweight, “life-of-the vehicle” solutions to stabilize automotive power networks and power new, all-electric subsystems, such as drive-by-wire steering. In mission critical industrial applications, where backup power is critical for continued operation or a soft shutdown in the event of power interruptions, they provide reliable, cost-effective, maintenance-free energy storage. In wind turbine blade pitch and braking systems and other industrial applications, they provide a simple, solid state, highly reliable, solution to buffer short-term mismatches between the power available and the power required.

Link for BOOSTCAP product images: http://editor.maxwell.com

Maxwell is a leading developer and manufacturer of innovative, cost-effective energy storage and power delivery solutions. Our BOOSTCAP® ultracapacitor cells and multi-cell modules and POWERCACHE® backup power systems provide safe and reliable power solutions for applications in consumer and industrial electronics, 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.

This news release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, and other expressions of management’s belief or opinion that reflect its current understanding or belief with respect to such matters. Such statements include, without limitation, projections of revenue, reserves for delivery of products at prices below our manufacturing cost and operating expenses, including expenses associated with implementation of Section 404 of the Sarbanes-Oxley Act of 2002, for future periods. These estimates and projections and the company’s business prospects in general are subject to numerous risks and uncertainties, including the fact that the company has a history of losses, may not be able to achieve or maintain profitability, and may not be able to obtain sufficient capital to meet customer demand or other corporate needs. Other risks and uncertainties involve our ability to fulfill the terms of research programs and long-term contracts, 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, and the impact of competitive products and pricing, and risks and uncertainties involved in foreign operations, including the impact of currency fluctuations. Future changes in accounting standards or practices may adversely affect our revenue or expenses, and compliance with government regulations may result in additional expenses. We may also be subject to product liability or warranty claims in excess of our reserves, with which we have limited historical experience, and we have undergone government audits of two businesses sold or discontinued in 2001, and cannot be certain that documentation we have provided will be sufficient to avoid significant liabilities arising from those audits. These and other risks are detailed from time-to-time in the Company’s SEC reports, including our most recent Form 10-Q and our Form 10-K for the fiscal year ended December 31, 2004. Actual results may differ materially from those projected. These forward-looking statements represent management’s opinions and beliefs as of the date of this news release. The Company disclaims any intent or obligation to update these forward-looking statements to reflect events or circumstances that may arise after the date of this release.

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