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The
Initiative will accelerate our breakthroughs in two vital areas; how we power
our homes and businesses; and how we power our automobiles.

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As part of the National Energy Policy, the President
committed $2 billion over 10 years to speed up research in the use of clean
coal technologies to generate electricity while meeting environmental
regulations at low cost. In 2001, the President put forward his
National Energy Policy, which included over 100 recommendations to increase
domestic energy supplies, encourage efficiency and conservation, invest in
energy -related infrastructure, and develop alternative and renewable sources
of energy.

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7 million increase over FY06 - to speed up
the development of this battery technology and extend the range of these
vehicles.

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The President's plan would accelerate
research in the next generation of battery technology for hybrid vehicles and
"plug-in hybrids.

The President's Advanced Energy Initiative Will Build On The Progress Made
Since 2001
Since 2001, The Administration Has Worked To Ensure Affordable, Reliable,
Secure, And Clean Sources Of Energy.

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VANCOUVER, Canada, Saft has
been deeply involved over the last decade in the development and the
production of advanced battery technologies to meet the needs of the Hybrid
Electric Vehicles (HEV) market. The President's 2007 Budget
will provide $289 million - an increase of $53 million over FY06 - to
accelerate the development of hydrogen fuel cells and affordable hydrogen-
powered cars.

commuter tricycles

Saft batteries are used in high
performance applications such as industrial infrastructure and processes,
transportation, space and defense.

Accelerating research in clean coal technologies, clean
and safe nuclear energy, and revolutionary solar and wind technologies will
reduce overall demand for natural gas and lead to lower energy costs .
There are an estimated 250 million vehicles on America's highways, and
Americans will purchase more than 17 million vehicles this year.

practicality evs

Saft offers a wide range of high power and high energy Li-ion (lithium-
ion) cells and complete battery systems that have been selected by many
companies in the car industry to equip new generations of mild-hybrids, full-
hybrids, plug-in-hybrids and fuel cell vehicles. Li-ion technology
versatility enables its integration on existing ICE models as well as
dedicated HEV platforms at affordable adaptation cost and development time. Saft is the world's leading manufacturer of
nickel-cadmium batteries for industrial applications and of primary lithium
batteries for industry and defense.

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Saft's philosophy is to be the advanced battery system partner of the
automotive industry, offering no stand alone cells but a complete range of
engineering services and battery systems customized to each HEV's
specifications.

About Saft
Saft is a world specialist in the design and manufacture of high-tech
batteries for industrial applications. The President has set a national
goal of replacing more than 75% of our oil imports from the Middle East by
2025. The
President's Advanced Energy Initiative proposes speeding up research in three
promising areas:
-- The President's Coal Research Initiative. The 2007 Budget includes $44 million
for wind energy research - a $5 million increase over FY06 levels." Current hybrids can only use the gasoline engine to charge
the on-board battery.

econogics hybrids

Its 16 manufacturing sites
and extensive sales network enable the group to serve its customers worldwide. The United States must move beyond a petroleum-based economy
and develop new ways to power automobiles. The President wants to accelerate
the development of domestic, renewable alternatives to gasoline and diesel
fuels. To achieve greater use of "homegrown"
renewable fuels in the United States, advanced technologies need to be
perfected to make fuel ethanol from cellulosic (plant fiber) biomass, which is
now discarded as waste. Over the past four years, the Administration has worked to
implement these recommendations and improve the Nation's energy outlook.

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Saft is present in 17 countries
and employs approximately 4,000 people worldwide. To tap the potential of America's enormous coal
reserves , the President's 2007 Budget includes $281 million for development of
clean coal technologies, nearly completing the President's commitment 4 years
ahead of schedule. Research scientists say that accelerating research into "cellulosic
ethanol" can make it cost-competitive by 2012, offering the potential to
displace up to 30% of the Nation's current fuel use.

-- America Must Act Now To Reduce Dependence On Foreign Sources Of Energy.

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The FutureGen initiative is a partnership between government and
the private sector to develop innovative technologies for an emissions-free
coal plant that captures the carbon dioxide it produces and stores it in deep
geologic formations. The Administration will also step
up the Nation's research in better batteries for use in hybrid and electric
cars and in pollution-free cars that run on hydrogen.

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Combined with ongoing efforts to expand
access to Federal lands for wind energy development, this new funding will
help dramatically increase the use of wind energy in the United States.

-- The Hydrogen Fuel Initiative.

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With America on the verge of breakthroughs in advanced energy
technologies, the best way to break the addiction to foreign oil is through
new technology. Advanced battery technologies offer the
potential to significantly reduce oil consumption in the near-term.

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With capacities ranging from
4 Ah to 45 Ah and power densities from 660 W/kg to 4,000 W/kg, the range of
Saft's cells virtually covers all types of alternative drive train
requirements. These solar photovoltaic "PV" cells can be
used to deliver energy services to rural areas and can be incorporated
directly into building materials, so that there can be future "zero energy"
homes that produce more energy than they consume. Through the President's program , the cost of a hydrogen fuel
cell has been cut by more than 50% in just four years.

transporters practicality

Saft Li -ion technology provides a number of key benefits: more compact and
lighter battery systems, cold cranking capabilities, life span same as vehicle
life, excellent charge/discharge energy efficiency , long storage capability,
easy state-of-charge and state-of-health monitoring. Based on proprietary cell designs, Saft battery systems
include electronic cell monitoring units, battery management systems , thermal
management systems (air or liquid), and CAN bus communication capabilities. The group is also a leader for specialized
battery technologies for space and defense.

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WASHINGTON, In His State Of The Union Address,
President Bush Outlined The Advanced Energy Initiative To Help Break America's
Dependence On Foreign Sources Of Energy. Tonight, the
President announced the Advanced Energy Initiative, which provides for a 22%
increase in clean-energy research at the Department of Energy (DOE). Current hybrids on the road run on
a battery developed at the DOE.

onboard electric

Saft Showcases Lithium -Ion Technology for Hybrid Electric Vehicles at Electric Drive Transportation Association Conference

For more information, visit Saft at http://www. The Administration will accelerate research in cutting-edge methods of
producing "cellulosic ethanol" with the goal of making the use of such ethanol
practical and competitive within 6 years.

-- The Biorefinery Initiative.

-- Developing More Efficient Vehicles.

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-- The President's Solar America Initiative.

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Changing The Way We Power Our Homes And Businesses
The Administration Will Work To Diversify Energy Sources For American
Homes And Businesses. Coal provides more than half
of the Nation 's electricity supply, and America has enough coal to last more
than 200 years. The 2007 Budget will propose
a new $148 million Solar America Initiative - an increase of $65 million over
FY06 - to accelerate the development of semiconductor materials that convert
sunlight directly to electricity .

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-- Expanding Clean Energy from Wind.

Changing The Way We Power Our Automobiles
We Are On The Verge Of Dramatic Improvements In How We Power Our
Automobiles, And The President 's Initiative Will Bring Those Improvements To
The Forefront. A "plug-in" hybrid can run either on electricity or on
gasoline and can be plugged into the wall at night to recharge its batteries. The sooner breakthroughs are achieved, the better for
America.

nedra transporters

The combination of its limited mass and volume characteristics makes Saft Li-
ion the reference solution for advanced plug-in-hybrid systems. This will
help improve the efficiency and lower the costs of new wind technologies for
use in low-speed wind environments. The President's 2007 Budget will include $150 million
- a $59 million increase over FY06 - to help develop bio-based transportation
fuels from agricultural waste products, such as wood chips, stalks, or switch
grass.

polluting ev1

HEV combine two separate power sources to
provide their propulsion: an electric motor and a thermal engine - a
configuration that significantly reduces energy consumption and therefore CO2
emissions and fuel costs compared to conventional vehicles . The 2007
Budget includes $30 million - a $6. In his 2003 State of the Union address,
President Bush announced a $1.

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State Of The Union: The Advanced Energy Initiative

Since 2001, we have spent nearly $10 billion to develop
cleaner, cheaper, and more reliable alternative energy sources.
These vehicles will enable drivers to meet most of their urban commuting needs
with virtually no gasoline use.2 billion Hydrogen Fuel Initiative to develop
technology for commercially viable hydrogen-powered fuel cells, which would
power cars, trucks, homes, and businesses with no pollution or greenhouse
gases. Through private-sector partnerships, the Initiative and related
FreedomCAR programs will make it practical and cost-effective for Americans to
use clean, hydrogen fuel cell vehicles by 2020.

Last Summer, The President Signed The First Comprehensive Energy
Legislation In Over A Decade. The Energy Policy Act of 2005 is strengthening
America's electrical infrastructure , reducing the country's dependence on
foreign sources of energy, increasing conservation, and expanding the use of
clean renewable energy.

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saftbatteries.

-- The President's 2007 Budget Includes $54 Million For The FutureGen
Initiative. It will take
approximately 15 years to switch America 's automobiles over to more fuel
efficient technologies.