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Ballard Begins Sub-Lease of Space to Daimler

Ballard Power Systems has optimized and consolidated the production space and product development at its specific fuel cell manufacturing facilities, which is situated in Burnaby, British Columbia. In addition, the formerly proclaimed sub-lease of space, which signifies around 38% of the facility, to Daimler, has been started by the company for use in the production of fuel cells for Daimler’s fuel cell car programs.

Additional space was formed due to the expansion of Ballard earlier in applying the continuous and automatic manufacturing methods for the fuel cell products of the company. The constant lamination equipment that intersects and accumulates the elements of Ballard's own technology, results in an increased production of 10-fold while utilizing the physical floor space of around 10%.

The Vice-President of Operations of Ballard has stated that the company has completed this work promptly, which also allowed the sub-lease to continue to Daimler as planned. With the development of continuous and automated manufacturing, the company will have the capability of producing 100 MW of fuel cell product yearly and through 2013, it requires no additional investment for the manufacturing ability.

Ballard anticipates yearly savings of around $1 million in real estate and associated overhead expenditures, through the Daimler sub-lease. This economical manufacturing model is an additional facilitator for the Company's profit.

Ballard will continue the delivery of its FCvelocity products for the fuel cell bus and car programs conducted by Daimler till the end of the ongoing supply contract. Besides, Ballard will be continuing the supply to majority owned Daimler’s Automotive Fuel Cell Cooperation (AFCC), with technical engineering and manufacturing services on contract.

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