Under this contract, Quantum will complete the development of a 2008 Ford Escape Hydrogen Hybrid, incorporating an advanced hydrogen fuel injection system and ultra-lightweight hydrogen storage system developed by Quantum. This effort will include the development of an advanced hydrogen storage system, fuel injection system, electronic controls, and requisite software required for the Hydrogen Ford Escape Hybrid. The work will be completed by Quantum at its Advanced Vehicle Concept Center in Lake Forest, CA.

The Hydrogen Ford Escape Hybrid contract complements the Mobile Hydrogen Infrastructure program, through which Quantum designed and built two of its patented HyHauler Plus® transportable hydrogen refueling stations. The objective of the MHI program is to demonstrate the capability of Quantum's HyHauler Plus® transportable hydrogen refueling stations to meet emerging hydrogen fuel demand as hydrogen and fuel cell technologies are deployed throughout the military as part of the 21st Century Base initiative. The subject contract will also support the enhancement of the two HyHauler Plus® stations to expand their operating environment range and address conditions specified by the U.S. Army.

"We are pleased to be able to support the U.S. Army TARDEC in expanding its hydrogen vehicle and infrastructure programs. This contract is another example of the U.S. Army's leadership as an early adopter of advanced technologies which will reduce petroleum dependence and fuel consumption while supporting the efforts of our troops," said Alan P. Niedzwiecki, President and CEO of Quantum. "Interest continues to grow in Quantum's hydrogen hybrid vehicles, both the Hydrogen Prius and now the Hydrogen Escape Hybrid, as near- term alternatives to reduce emissions and petroleum usage through the implementation of hydrogen technologies. We also are pleased to see our family of hydrogen refueling system products, including the HyHauler Plus® transportable hydrogen refueling station and B35/B70 portable hydrogen refuelers, being implemented as transitional solutions to enable the emerging hydrogen economy."

About Quantum:

Quantum and its subsidiary, Tecstar Automotive Group, are leaders in powertrain engineering, system integration, and manufacturing of packaged fuel systems and accessories for specialty vehicles and applications including hybrids, plug-in hybrids, fuel cells, alternative fuels, hydrogen refueling, new body styles, mid-cycle vehicle product enhancements and high performance engines and drive trains for OEMs and consumers of aftermarket parts and accessories. Quantum also designs and manufactures hybrid and fuel cell vehicles.

Quantum has product commercialization alliances with General Motors, AM General, and Sumitomo. Quantum's customer base includes General Motors, Toyota, Opel, Hyundai, Suzuki, Ford, DaimlerChrysler, AeroVironment, and the U.S. Army.

More information can be found about Quantum's products and services at http://www.qtww.com.