August 26, 08
ZPower Demonstrates its “Lithium-Ion Killer” Silver-Zinc Battery

ZPower, Inc., a leading global provider of silver-zinc, rechargeable battery technology for consumer electronic devices has demonstrated the performance, environmental, and safety advantages inherent within the company’s silver-zinc battery technology at the Intel
Developer Forum in San Francisco’s Moscone Center.

The company is currently working with leading manufacturers of notebook computers, cell phones, and smart phones to incorporate silver-zinc technology in next generation products. A silver-zinc battery option will be rolled out in a major notebook computer in 2009. The battery is slated to be released as a premium extended life battery. The notebook will be “dual chemistry enabled,” which means it will work with either silver-zinc or lithium-ion batteries.

“We’re particularly excited to show how far our silver-zinc battery technology has come at this year’s
Intel Developer Forum,” said ZPower President and CEO Dr. Ross Dueber. “Since our appearance at
IDF last fall, our batteries now offer greater power and improved performance. We’ve made these
enhancements while focusing on consumer safety and manufacturing a product that is
environmentally responsible.”

During the past year, the company made several performance enhancements to its batteries. The
ZPowerTM battery offers up to 40 percent more run time than traditional lithium-ion batteries. Also,
the company has made significant improvements in battery cycle life, quality, and consistency.

"Innovation in power and energy storage technology is essential to achieve longer battery life for
mobile PCs,” said Kamal Shah, manager, Mobility Enabling Initiative, Mobile Platforms Group, Intel
Corporation. "ZPower demonstrates a strong potential for delivering high volumetric energy density
for mobile products.”

In terms of the battery’s environmental impact, over 95% of key battery elements can be recycled and
reused. The raw materials recovered in the recycling process of silver-zinc batteries are the same
quality as those that went into the creation of the battery. Environmental impact is lessened since the
need to mine for new materials is minimized. Also, ZPower will be one of the first companies to offer
financial incentives to consumers who recycle their silver-zinc batteries.

ZPower was selected in September 2007 by AlwaysOn as one of the “GoingGreen 100 Top Private
Companies” in the Energy Storage category for 2007. ZPower was recognized for its achievements in
battery materials recycling.

ZPower batteries are also far safer than competitive batteries currently used for portable devices.
Silver- zinc batteries contain no lithium and are inherently safe. They are not subject to the recent
FAA air travel restrictions now placed on lithium-ion batteries. Silver-zinc batteries feature a water-
based chemistry that is not flammable. The battery is therefore free from the problems of thermal
runaway and fire.