Axion Power PbC Batteries Continue To Demonstrate Effectiveness For Railroad Applications

Axion Power shipped the last skids that comprised this battery order to NS in late December and the batteries will be used to power the NS-999 yard switcher locomotive. The switcher functions in the train yard where its responsibilities include moving rail cars and assisting in disassembling and assembling various train configurations. In parallel, Axion and Norfolk Southern continue to participate in the development of an energy system for over the road hybrid locomotives, that will be much more powerful units that would require significantly more batteries.

The final shipment of batteries to Norfolk Southern means that approximately $475,000 in revenue, attributable to the eventual re-commissioning of the NS-999, will be recognized in Axion's results for the fourth quarter of 2012, according to Thomas Granville, Axion Power Chairman and CEO.

As we move into 2013, we are excited about the further unveiling of our PbC battery in our ongoing program with NS. The PbC properties that make our battery the chemistry of choice for 'all electric' and 'hybrid electric' locomotives – long cycle life, excellent cold temperature performance, fast charge and discharge capability, high charge acceptance, self equalization of charge in large string and in single battery cells, and above all, demonstrated safe operation regardless of temperature – all of these battery property advantages play well in a variety of other markets. Our new initiatives going forward include heavy trucks, charging station applications, residential energy and buffering and storage for wind and solar, Granville said.