Cobasys NiMHax NiMH Battery System Chosen by Winning Team of ‘Challenge X’ Competition.

Orion, MI, June 14, 2006 – Students from the Virginia Polytechnic Institute and State University took top honors by winning the 2006 Challenge X: Crossover to Sustainable Mobility engineering competition. The Virginia Tech team was among 17 universities from across North America who took part in the second annual competition in this three-year engineering series.

Virginia Tech’s winning combination was a re-engineered 2005 Chevrolet Equinox split parallel hybrid that used an advanced Cobasys Nickel Metal Hydride (NiMH) battery system, two (2) electric motors, and was fueled by E85 – an ethanol / gas blend that reduced vehicle petroleum use by seventy-four (74) percent.

The Cobasys NiMHax 336 volt, 70 kW NiMH battery system was chosen by Virginia Tech to support their hybrid vehicle because of the ease of integration, compact packaging and superior performance. Eight of the seventeen teams in this years competition chose a Cobasys NiMHax battery solution.

Challenge X is a unique program that strengthens cooperation of universities, government and industry in developing advanced propulsion technologies to reduce U.S dependence on imported oil. Under this program engineering students compete in developing technologies and selecting different methods to minimize energy consumption, emissions, and greenhouse gases while maintaining vehicle utility and performance.

Cobasys is a proud Silver Sponsor of the Challenge X program and continues to work daily with universities and industry in developing products to provide high performance, more energy efficient and ‘greener’ vehicles.

“The Challenge X competition engages engineering students to find new, clean solutions while boosting on-road fuel economy”, says Erik Hansen, General Sales Manager. “At Cobasys, we’re proud to recognize the skills of these talented students.”

Cobasys designs and manufactures advanced NiMH battery system solutions for transportation markets, including Hybrid Electric Vehicles (HEV), Electric Vehicles (EV) and 36/42 Volt applications, in addition to Stationary Back-Up power supply systems for Uninterruptible Power Supply (UPS), Telecom and Distributed Generation markets.

Cobasys, a leader in advanced NiMH battery system solutions is a joint venture between Chevron Technology Ventures LLC, a subsidiary of Chevron Corporation (NYSE: CVX) and Energy Conversion Devices, Inc. (NASDAQ: ENER).

For more information about Cobasys, contact Ray Wagner at 248-620-5700 or visit our website at www.cobasys.com.

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