Customer Recognizes Company for Strong Performance, Recycling Initiative
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Milton, Georgia - (September 7, 2010) - Exide Technologies, (NASDAQ: XIDE, www.exide.com) a global leader in stored electrical-energy solutions, recently was recognized by long-time customer Energy Battery Group, Inc. (EBG) for exceeding the company's expectations in a number of key performance areas. At the EBG annual meeting on June 26, 2010 in Palm Desert, California, Rick Hallock, EBG President and CEO, presented Exide with two prestigious supplier accolades - the 2009/2010 Vendor of the Year Award and the President's Award.
Incorporated in 1996 and headquartered in Atlanta, Georgia, the EBG organization currently has more than 200 distribution centers located throughout the United States, Canada, Columbia, and the Caribbean. EBG distributes a full array of automotive, commercial, marine, industrial, standby, motorcycle, and motive power batteries. Exide has been a supplier to EBG since 2002, providing a range of battery products and services for a variety of transportation segments including automotive, commercial, marine, and lawn & garden.
To secure the 2009 Vendor of the Year Award, Exide exceeded expectations of EBG in the areas of customer service, field sales support, and year-over-year unit product volume increases. The Exide Recycling organization for the Americas also received the President's Award - an EBG accolade that recognizes a supplier's efforts in continuous program innovations and the ability to pull these programs forward.
As evidenced by the Vendor of the Year award, Exide's alliance with EBG has strengthened significantly during the past few years. For example, the Company has enjoyed a double digit increase in product supply to EBG for the year with an eye on further volume increases during the coming months. This boost is supported by Exide's creation of new growth programs designed to increase volume penetration among EBG's key customers with specific concentration in the jobber, installer and fleet sectors.
Exide's partnership with EBG also has expanded in the area of recycling. "Exide Technologies invests in battery recycling because it's good for business and for the environment. During our fiscal year 2010, Exide recycled sufficient lead tonnage to make the Company one of the largest secondary lead recyclers in the world," said Bruce Cole, President - Transportation Americas for Exide Technologies. "The success of our Company's recycling initiative is measurably strengthened by customers like EBG. Without question, our relationship with this important customer is a powerful relationship, including the beneficial use and responsible handling of lead and products made from it." During the first six months of 2010, for example, EBG returned a 30 percent larger spent battery volume to Exide for recycling than it did during the same period for 2009.
"For the past eight years, Exide has built an innovative partnership with the EBG - one that optimizes both growth in the development and supply of products and in increasing levels of spent lead-acid battery recovery. These benefits are shared by all members of EBG on a broad range of levels and within their individual businesses with the goal of making both companies more successful," concluded Cole.
About Exide TechnologiesExide Technologies, with operations in more than 80 countries, is one of the world's largest producers and recyclers of lead-acid batteries. The Company's four global business groups -- Transportation Americas, Transportation Europe and Rest of World, Industrial Energy Americas and Industrial Energy Europe and Rest of World -- provide a comprehensive range of stored electrical energy products and services for industrial and transportation applications.
Transportation markets include original-equipment and aftermarket automotive, heavy-duty truck, agricultural and marine applications, and new technologies for hybrid vehicles and automotive applications. Industrial markets include network power applications such as telecommunications systems, electric utilities, railroads, photovoltaic (solar-power related) and uninterruptible power supply (UPS), and motive-power applications including lift trucks, mining and other commercial vehicles.
Further information about Exide, including its financial results, are available at www.exide.com.
Except for historical information, this news release may be deemed to contain "forward-looking" statements. The Company desires to avail itself of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 (the "Act") and is including this cautionary statement for the express purpose of availing itself of the protection afforded by the Act.
Examples of forward-looking statements include, but are not limited to (a) projections of revenues, cost of raw materials, income or loss, earnings or loss per share, capital expenditures, growth prospects, dividends, the effect of currency translations, capital structure, and other financial items, (b) statements of plans and objectives of the Company or its management or Board of Directors, including the introduction of new products, or estimates or predictions of actions by customers, suppliers, competitors or regulating authorities, © statements of future economic performance, and (d) statements of assumptions, such as the prevailing weather conditions in the Company's market areas, underlying other statements and statements about the Company or its business.
Factors that could cause actual results to differ materially from these forward looking statements include, but are not limited to, the following general factors such as: (i) the fact that lead, a major constituent in most of the Company's products, experiences significant fluctuations in market price and is a hazardous material that may give rise to costly environmental and safety claims, (ii) the Company's ability to implement and fund business strategies based on current liquidity, (iii) the Company's ability to realize anticipated efficiencies and avoid additional unanticipated costs related to its restructuring activities, (iv) the cyclical nature of the industries in which the Company operates and the impact of current adverse economic conditions on those industries, (v) unseasonable weather (warm winters and cool summers) which adversely affects demand for automotive and some industrial batteries, (vi) the Company's substantial debt and debt service requirements which may restrict the Company's operational and financial flexibility, as well as imposing significant interest and financing costs, (vii) the litigation proceedings to which the Company is subject, the results of which could have a material adverse effect on the Company and its business, (viii) the realization of the tax benefits of the Company's net operating loss carry forwards, which is dependent upon future taxable income, (ix) the negative results of tax audits in the U.S. and Europe which could require the payment of significant cash taxes, (x) competitiveness of the battery markets in the Americas and Europe, (xi) risks involved in foreign operations such as disruption of markets, changes in import and export laws, currency restrictions, currency exchange rate fluctuations and possible terrorist attacks against U.S. interests, (xii) the ability to acquire goods and services and/or fulfill later needs at budgeted costs, (xiii) general economic conditions, (xiv) the Company's ability to successfully pass along increased material costs to its customers, and (xv) recently adopted U.S. lead emissions standards and the implementation of such standards by applicable states, and (xvi) those risk factors described in the Company's fiscal 2010 Form 10-K filed on June 2, 2010 and its Form 10-Q filed on August 5, 2010.
The Company cautions each reader of this news release to carefully consider those factors set forth above. Such factors have, in some instances, affected and in the future could affect the ability of the Company to achieve its projected results and may cause actual results to differ materially from those expressed herein.
J.Addams & Partners, Inc.
Senior Director of Investor Relations