February 28, 2007
Agreements with Multiple Manufacturers Include Both Industrial and Automotive Markets
PROVO, Utah--Raser Technologies, Inc. (NYSE Arca: RZ) announced today that it has entered into two separate agreements for the testing and mass-production qualification of its Symetron(TM) electric motor and alternator technologies. The first agreement is with one of the largest AC motor manufacturers in the world and provides for the testing of Symetron(TM) technology in electrical motors for industrial applications. The second agreement is with the largest re-manufacturer of automotive alternators and starter motors in North America and provides for the testing and mass production qualification of Symetron(TM) technology in automotive alternator applications. These agreements are the first step in adapting the Symetron(TM) technology for mass production in specific commercial applications by some of the leading manufacturers in these industries.
The rising cost of energy is a significant concern to industry and government throughout the world. AC motors use up to 69% of the world's industrial electrical energy and up to 60% of total electricity production in the industrialized countries. Since the passage of the Energy Policy and Conservation Act in the United States in 1992, AC induction motors have increasingly become the subject of government minimum-efficiency standards and mandates. As a result, energy efficiency has become one of the highest priorities in the design of AC induction motors. Despite the benefits of higher efficiency, higher costs have remained a barrier to the adoption of premium-efficiency motors. This development agreement will validate the application of Efficiency Optimized (EO) technology to increase AC induction motor efficiency with little or no increase in cost in certain applications.
In the truck and heavy-duty vehicle market, where brushless alternators are preferred, the need for higher output, higher efficiency alternators continues to increase, driven by both user demand for more onboard electrical components and rising fuel costs. Raser's Symetron(TM)-enhanced brushless alternator technology, which includes Raser's proprietary Intelligent Voltage Regulator, has demonstrated a dramatic increase in the current output from the same size alternator, while also increasing efficiency and range of operating temperature.
Upon the successful completion of testing and verification of results, both manufacturers anticipate moving towards final licensing agreements for mass production.
Patrick Schwartz, President of Raser, stated, "These initial commercial agreements point to the value at the heart of our Symetron(TM) family of technologies, and we intend to continue to aggressively pursue opportunities to commercialize these technologies in our target markets."
Thomas Kaporch, Sr. VP of Raser for Business Development, added, "Over the last year-and-a-half, Raser's technologies have been moving from concept to prototype thanks to our new design center and the many highly-skilled engineers and technical personnel we have added during that time.
"Now, we are beginning to see these laboratory-proven technologies move into mass-production testing, verification and qualification with potential licensees. As we build momentum, we expect to see this process accelerate and broaden."
About Raser Technologies
Raser is a publicly-traded technology licensing and development company operating in two business segments. Raser's transportation and industrial technology segment focuses using Raser's Symetron(TM) technology to improve the efficiency of rotating electromagnetics for electric motors and other applications. Raser's power systems segment is seeking to develop new geothermal electric power plants and bottom-cycling operations, incorporating licensed heat transfer technology and Raser's Symetron(TM) technology. Further information on Raser may be found at: www.rasertech.com.
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