U.S. Army awards Saft $3.2m increase on contract for high-power lithium-ion technology

Cockeysville, United States - Jul 2, 2009 - The U.S. Army Tank-Automotive Research Development Engineering Command (TARDEC) is awarding Saft an additional $3.2 million, building on the $17 million contract it signed with the battery manufacturer in 2004.

The new contract enables Saft to increase the production capability of its very high power (VHP) lithium-ion (Li-ion) technology under TARDEC's Manufacturing Technology (ManTech) program.

The ManTech program provides funding for the development of low-risk, affordable technologies for
military systems. The goal is to improve production costs through product flow improvements, simplifying
the design of manufactured products, and reducing labor hours. Since receiving funding from ManTech in
2004, Saft's Space and Defense Division has seen a fivefold increase in production capability, while also
decreasing production costs on cells by 70%. These costs savings will likely enable the US government
to recover the entire cost of the ManTech program based on current production orders, resulting in a
projected savings of $26 million by 2013.

"Saft is honored to further extend our longstanding relationship with the U.S. Army TARDEC," said
Thomas Alcide, Saft Specialty Battery Group General Manager. "The continued improvement of our VHP
technology and our manufacturing capabilities is due to the leadership of the Hybrid Electric Team
Leader, the Energy Storage Team Leader, along with the support of the entire team at US Army
TARDEC. Their commitment to pushing the envelope of Li-ion technology has made possible these
significant improvements in our processes and our technology."

Saft manufactures the highest power Li-ion batteries in the world, with its large format VLV range cells
that provide twice as much power as the Li-ion cells used in hybrid electric military vehicles and other
defense applications today.

Saft's diverse Li-ion portfolio also includes high power, medium power and high energy solutions, with
each of these product lines designed specifically for applications requiring either power, energy or a
combination of both. Saft's high-power Li-ion batteries are currently being used in several of the military's
hybrid electric armored demonstrator vehicles, including BAE Systems (United Defense's) Non Line of
Sight Canon (NLOS-C), Carnegie Mellon National Robotics Engineering Center's Crusher robotic vehicle,
General Dynamic Land Systems' Reconnaissance Surveillance Targeting Vehicle (RSTV), and US Army
TACOM's High-Mobility Multipurpose Wheeled Vehicle (HMMWV).

About Saft
Saft (Euronext: Saft) is a world specialist in the design and manufacture of high-tech batteries for
industry. Saft batteries are used in high performance applications, such as industrial infrastructure and
processes, transportation, space and defense. Saft is the world's leading manufacturer of nickel-cadmium
batteries for industrial applications and of primary lithium batteries for a wide range of end markets. The
group is also the European leader for specialized advanced technologies for the defense and space industries.
With approximately 4,000 employees worldwide, Saft is present in 18 countries. Its 15 manufacturing sites and extensive sales network enable the group to serve its customers worldwide. Saft
is listed in the SBF 120 index on the Paris Stock Market.


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