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International Deal Confirms Fuel Cell Era; Ford, Ballard, Daimler-Benz Announce Fuel Cell Vehicle Partnership

15 December 1997

International Deal Confirms Fuel Cell Era; Ford, Ballard, Daimler-Benz Announce Fuel Cell Vehicle Partnership

    WASHINGTON, Dec. 15 -- An historic commitment to fuel cell
vehicles took shape today with the announcement that Ford Motor Company
will bring its electric vehicle technology and $420 million to a new
international fuel cell vehicle alliance.  Ford's partners are Ballard Power
Systems, Inc., of Canada, and the auto maker Daimler-Benz AG of Germany.
    "For those of us who support fuel cells in the U.S., this is a
particularly exciting announcement," said Robert Rose, executive director of
Fuel Cells 2000.  "Ford is the first of the Big Three U.S. auto makers to
publicly commit significant resources to commercializing fuel cell cars and
trucks.  The target date for commercial availability is 2004."
    When all the cash and stock trades are completed, three companies will
emerge.  Ballard will be majority owner of the company that supplies fuel
cells.  Daimler-Benz will own a majority of the company that develops fuel
cell engine systems.  Ford will be majority owner of a company developing
electric drive train systems.  All three companies will own a share of each
enterprise.  The bulk of the investment announced today will be in cash.
    "As exciting as it is, today's announcement clearly represents a challenge
to U.S. fuel cell developers and to the other U.S. auto companies.  It's no
longer a question of whether the U.S. will lead fuel cell development, but how
well it will compete against the leaders."
    Today's announcement is only the latest in a series of technology
announcements and financial investment decisions regarding fuel cells in 1997.
    Fuel Cells 2000 is an independent, nonprofit activity dedicated to the
commercialization of fuel cell technologies.

SOURCE  Fuel Cells 2000