A123 Systems LLC Completes Acquisition of Substantially All Non-Government Business Assets of A123 Systems, Inc.

A123 Systems LLC Completes Acquisition of Substantially All Non-Government
Business Assets of A123 Systems, Inc.

WALTHAM, Mass., Jan. 29, 2013 (GLOBE NEWSWIRE) -- A123 Systems LLC, a newly
formed, wholly owned subsidiary of Wanxiang America Corporation, today
announced that it has acquired substantially all of the non-government
business assets of A123 Systems, Inc. Included in the acquisition, which has
received approval from the Committee on Foreign Investment in the United
States (CFIUS), are A123's automotive, grid and commercial business assets,
including technology, products, customer contracts and U.S. facilities in
Michigan, Massachusetts and Missouri; its manufacturing operations in China;
and its equity interest in Shanghai Advanced Traction Battery Systems Co.,
A123's joint venture with Shanghai Automotive. Excluded from the acquisition
is A123's Ann Arbor, Mich.-based government business, including contracts with
the U.S. military.

"We are excited to add A123 Systems to our growing portfolio of companies as
we continue to expand on our strategy of investing in the automotive and
cleantech industries in the U.S.," said Pin Ni, president of Wanxiang America.
"A123 will continue to offer cutting-edge technology for vehicle
electrification and grid-scale energy storage, strong manufacturing and
systems engineering capabilities and a world-class R&D team. Wanxiang America
will continue to foster the technologies A123 has worked so hard to develop,
and we believe this combination positions A123 for long-term success. We'd
also like to thank Dave Vieau for his years of dedication and service to

A123 Systems LLC will leverage its industry-leading research and development
capability to bring innovations at the chemistry, cell and system level to
market while also ramping up manufacturing at its facilities in Michigan and
Massachusetts to meet demand from customers in three core business areas:
transportation, electric grid and lead-acid replacement. In addition, A123
will continue operating its existing manufacturing facilities in China.

  *Transportation— In addition to its market leading position in commercial
    vehicles and its strong global presence in passenger car high-voltage
    systems, A123 Systems LLC will capitalize on the increasing market
    opportunity for its technology in low-voltage applications, including
    start-stop microhybrid battery systems. The company is also committed to
    continue executing on previously announced customer agreements introducing
    next-generation vehicles to market, including the ActiveHybrid 3 and
    ActiveHybrid 5 HEVs from BMW, the Chevrolet Spark EV from General Motors,
    and the Roewe 550 plug-in HEV and Roewe E50 EV from Shanghai Automotive,
    China's largest automaker.
  *Electric Grid— A123 Systems LLC will continue to focus on its mission to
    enable the transformation of energy production and delivery through its
    energy storage solutions and services that are designed to significantly
    improve the operational reliability, economic viability and efficiency of
    electric power grids.
  *Lead-Acid Replacement— A123 Systems LLC will continue to service key
    strategic customers by supplying lithium ion battery solutions designed to
    deliver higher performance, longer life and lower total cost of ownership
    as compared with traditional battery chemistries for industrial,
    commercial and consumer applications.

About A123 Systems LLC

A123 Systems LLC, a wholly owned subsidiary of Wanxiang America Corporation,
is a leading developer and manufacturer of advanced lithium-ion batteries and
energy storage systems for transportation, electric grid and lead-acid
replacement applications. The company's proprietary Nanophosphate® lithium
iron phosphate technology is built on novel nanoscale materials initially
developed at the Massachusetts Institute of Technology and is designed to
deliver high power and energy density, increased safety and extended life.
A123 leverages breakthrough technology and expert systems integration
capabilities to deliver innovative solutions that enable customers to bring
next-generation products to market. For more information, please visit

About Wanxiang America Corporation

Based outside of Chicago, Wanxiang America has been in the automotive,
industrial and clean energy technology markets in the U.S. since 1994 and has
a long and successful record of investing in and expanding U.S. manufacturing
operations. Wanxiang America currently has more than 3,000 employees in the

CONTACT: Media Contacts:
         Caroline Langdale
         Dan Borgasano
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