Quantum Technologies Enters Into Letters of Intent to Sell Certain of its Schneider Power Wind Farm Assets

  Quantum Technologies Enters Into Letters of Intent to Sell Certain of its
                       Schneider Power Wind Farm Assets

PR Newswire

LAKE FOREST, Calif., March 13, 2013

LAKE FOREST, Calif., March 13, 2013 /PRNewswire/ --Quantum Fuel Systems
Technologies Worldwide, Inc. (NASDAQ: QTWW), a global leader in natural gas
storage systems, integration and vehicle system technologies, today announced
that it and its wholly owned subsidiary, Schneider Power Inc., have entered
into two separate non-binding letters of intent with unrelated third parties
for the sale of Schneider Power's 1.6 Megawatt (MW) Providence Bay operational
wind farm, its 10.0 MW Trout Creek wind farm development project and certain
other Schneider Power development projects. Provided that the definitive
terms are agreed upon and binding agreements are entered into and all closing
conditions are satisfied, the sale of the Providence Bay wind farm is expected
to close near the end of March 2013 and the sale of the Trout Creek and other
development assets is expected to close near the end of April 2013. Total cash
proceeds from these potential transactions, including the return of deposits
made with respect to these projects, could be up to Canadian Dollar (CAD)
$3,646,000, of which CAD $1,752,250 in cash proceeds is anticipated to be
received in connection with the closings and the remaining amount contingent
upon the buyers bringing the development assets into commercial operation in
the future. In addition, the buyer of the Providence Bay wind farm would
assume approximately CAD $1.1 million in bank debt and the buyer of the Trout
Creek development project would assume CAD $236,709 of obligations.

The Company has also received formal offers and letters of interest for
Schneider Power's 10.0 MW Zephyr operational wind farm, its 50.0 Megawatt
development project in the Dominican Republic and its 1.0 MW development
project in the Bahamas that are currently being evaluated.

"As previously announced, the Company's intent is to completely dispose of all
of Schneider Power's operating assets and development projects and we are
making great strides in our efforts to do so," stated Brian Olson, President
and Chief Executive Officer of Quantum. "We have determined that we can
maximize value by selling off individual project assets and are confident that
we will be able to monetize these assets, generate meaningful cash proceeds
and reduce the amount of debt on our balance sheet over the next 6 months."

The Trout Creek letter of intent calls for a purchase price of CAD $1,525,000,
of which CAD $381,250 would be received at closing in exchange for 74.9% of
the ownership interests in the project. The buyer would also receive an
irrevocable option to purchase the remaining 25.1% ownership interest for CAD
$1,143,750, which option must be exercised if and when the project development
is completed and the wind farm goes into commercial operation. In addition,
the buyer has agreed to reimburse the Company and assume obligations in the
aggregate amount of CAD $626,709 related to development deposits and costs
incurred to date for the project and to be solely responsible for all future
project development costs and expenses. Further, in connection with the close
of the transaction, the Company would receive a return of a development
deposit in the amount of CAD $200,000 from an entity that provides power
transmission services.

The Trout Creek letter of intent also covers three other development projects
owned by Schneider Power. For the sale of the three projects, the Company
would receive CAD $75,000 at closing for the sale of 74.9% of the ownership
interests in such projects plus the Company will receive an additional CAD
$250,000 for the remaining 25.1% ownership interest for each of the three
projects that is completed and goes operational. Following the closing, the
buyer would be solely responsible for all project development costs and
expenses. Further, in connection with the planned sale of the project assets,
the Company would receive a return of certain development deposits in the
aggregate amount of CAD $300,000 from the Ontario Power Authority.

The Providence Bay letter of intent calls for the purchase and sale of all of
the assets of the Providence Bay wind farm for a purchase price of CAD
$406,000, payable in cash at closing. The buyer would also assume
approximately CAD $1.1 million of bank debt and certain other project related
liabilities.

About Quantum:
Quantum Fuel Systems Technologies Worldwide, Inc. is a leader in the
development and production of natural gas fuel storage and system
technologies, alternative fuel vehicles, and advanced vehicle propulsion
systems. Quantum's portfolio of technologies includes natural gas and hydrogen
storage and metering systems, electronic and software controls, hybrid
electric drive systems, and other alternative fuel technologies and solutions
that enable fuel efficient, low emission natural gas and hybrid, plug-in
hybrid electric and fuel cell vehicles. Quantum's powertrain engineering,
system integration, vehicle manufacturing, and assembly capabilities provide
fast-to-market solutions to support the production of natural gas, plug-in
hybrid, hydrogen-powered hybrid, fuel cell, and specialty vehicles, as well as
modular, transportable hydrogen refueling stations. Quantum's customer base
includes automotive OEMs, fleets, aerospace industry, military and other
governmental agencies, and other strategic alliance partners. Quantum's wholly
owned subsidiary, Schneider Power Inc., and affiliate, Asola Solarpower GmbH,
complement Quantum's alternative and renewable energy presence through the
development and ownership of wind and solar farms, and the manufacture of high
efficiency solar modules for traditional and automotive applications. Quantum
is headquartered in Lake Forest, California, and has operations and
affiliations in the USA, Canada, Germany and India.

Forward Looking Statements:
This press release contains forward looking statements within the meaning of
the Private Securities Litigation Reform Act of 1995. All statements included
in this report, other than those that are historical, are forward-looking
statements and can generally be identified by words such as "may," "could,"
"will," "should," "assume," "expect," "anticipate," "plan," "intend,"
"believe," "predict," "estimate," "forecast," "outlook," "potential," or
"continue," or the negative of these terms, and other comparable
terminology.Various risks and other factors could cause actual results, and
actual events that occur, to differ materially from those contemplated by the
forward looking statements.Risk factors include whether the parties can agree
upon the definitive terms, whether all closing conditions set forth in the
definitive agreements can be met, whether the transactions contemplated by the
non-binding letters of intent are completed, whether the Trout Creek wind farm
and other development assets are developed and go operational, whether
Schneider Power assets can be monetized within the expected time frame, if at
all, and the amount of proceeds received from such sales. The Company
undertakes no obligation to update the information in this press release to
reflect events or circumstances after the date hereof or to reflect the
occurrence of anticipated or unanticipated events.

More information can be found about our products and services at
http://www.qtww.com/ or you may contact:

Brion D. Tanous
Principal, CleanTech IR, Inc.
Email:btanous@cleantech-ir.com
310-541-6824

©2013 Quantum Fuel Systems Technologies Worldwide, Inc.
Advanced Technology Center
25242 Arctic Ocean Drive, Lake Forest, CA 92630
Phone 949-399-4500 Fax 949-399-4600

SOURCE Quantum Fuel Systems Technologies Worldwide, Inc.

Website: http://www.qtww.com
 
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