Electrobike Debut of 'Jazz' a Big Success in Southern CA
6 May 1999
Electrobike Debut of 'Jazz' a Big Success in Southern CANegotiations Underway for Bridge Financing, Retail, & International Distribution CHULA VISTA, Calif., May 6 -- BAT International (OTC Bulletin Board: BAAT) today issued the following release: BAT International's (OTC Bulletin Board: BAAT) subsidiary, Electrobike, introduced its new electric bicycle, "Jazz" at the Southern California Bike Expo in LA on April 23rd to 25th and received an enthusiastic response from approximately 14,000 attendees. Bike Expo coincided with the Brewery Artwalk, which had an estimated attendance of 7000 people. The two events elevated Electrobike's profile in the Southern California region and led to strong interest in the product from consumers, bike dealers, and various strategic partners. One of the most important outcomes of Electrobike's presence at the bike show and art walk was to solidify relationships with various national and international distributors. Negotiations are now underway with distributors to facilitate the introduction of Electrobike's product line to major retail chain stores in the U.S. An agreement for bridge financing in the form of a letter of credit between a purchase order and manufacturing of goods is in final stages of negotiation that will provide $1 to 10 million in funding. Agreements are also being negotiated to distribute electric bicycles in Asia and Europe. Electrobike's strategy to position itself across from Lee Iacocca's EV Global Motors proved valuable as a means to draw spillover media to Electrobike's booth. Electrobike was interviewed by both National Public Radio and Fox TV. Of most interest to the attendees at Bike Expo was the comparison of Electrobike and EV Global Motors products. The two companies have very different products aimed at the same market segment. EV Global Motor's "E-Bike" uses 26" wheels and has a crossbar, making it cumbersome to mount and dismount. Electrobike's "Jazz" has no crossbar, has 24" wheels, a low center of gravity and a step through frame design that makes it easier to mount and dismount and more functional for transportation and recreation. Electrobike's "Jazz" retails for 25% less than the "E-Bike" with virtually identical performance and quality. These features make it very appealing to large market segments such as seniors, women, over 40 baby boomers, & commuters. Electrobike will continue its exhibit and marketing strategy with the following events: May 11th Environmental Fair at the University of California, San Diego (featured speaker) May 16th Land speed record attempt with "Jazz" at El Mirage, California (bike now exceeds 50 mph) September Motorcycle, scooter, and bicycle show in Milan, Italy (over 750,00 expected to attend) Summer/Fall Various recreational vehicle, marine and sporting goods shows nationally As a means to expand market share and diversify its product line, Electrobike will be introducing 3 new important products at the Milan show in September. These innovative products will remain out of public view until their unveiling at the Milan, Italy motorcycle/scooter show. Distributors we have been negotiating with perceive there is a very large mass merchandise market for each of these new products. Their interest is being fueled by a combination of product innovation, pricing structure, manufacturing capability, and financing. Electrobike's new web address (http://www.electrobike.com) is under expedited development to improve information content, user interface, and on-line ordering capability. Electrobike is working on various strategies to cross-link the web site to other sites and increase traffic. This will enhance Electrobike sales and market presence. BAT International is organized as a holding company with major ownership position in a set of subsidiary companies now commercializing advanced automotive and energy technology products developed by BAT. Technologies developed over the last six years include electric vehicles, composite chassis, super-efficient or high power engines, electric bicycles and scooters, advanced batteries, lubricant additives, and electric power generation (for information, see BAT web site at http://www.baat.com). This press release contains forward-looking statements that should not be used to make an investment decision. Please refer to our web site and other sources for more detailed Company information (Investor Relations, (619) 409-8977)