Construction of New Logistics Hub Drives Purchase of 123 Additional Lift Trucks Powered by GenDrive Fuel Cells
Plug Power Inc. (NASDAQ: PLUG), a leader in providing clean, reliable energy solutions, today announced that Mercedes-Benz US International, Inc. (MBUSI) has ordered 123 additional hydrogen-based GenDrive® fuel cell units to power new forklift trucks for its material handling fleet at a logistics hub now under construction in Tuscaloosa, AL.
Last July, Mercedes purchased 72 GenDrive fuel cells for the lift truck fleet at its Tuscaloosa vehicle assembly plant. Earlier this year, construction began on a brand new $70 million, 900,000 square-foot state-of-the-art warehouse. This new facility is designed to streamline logistics operations and support the receiving, handling and sequencing of parts for M-Class and GL-Class SUVs and R-Class crossover vehicles currently in production, as well as for the successor generation of the current C-Class for the North American market beginning in 2014. It is expected that the new GenDrive-powered forklift fleet will be operational by the fourth quarter of 2013.
Plug Power’s GenDrive fuel cell is designed as a drop-in replacement for lead-acid batteries. It is a more efficient, cost-effective method of providing clean energy for warehouse and distribution operations. Not only does fuel cell usage eliminate the possibility of lead and acid contamination in the workplace, it also eliminates the need for battery storage and re-charging rooms in the new logistics hub.
Compact refueling stations will be available in several locations within the facility, with hydrogen provided by Air Products (NYSE: APD). Fuel cells take only minutes to fully re-fuel, whereas batteries can take hours to reach maximum charge. In addition, fuel cells keep lift trucks running at constant speed, unlike batteries, which cause vehicles to slow as their charge runs down.
“The Mercedes-Benz plant in Tuscaloosa has experienced first-hand the value of GenDrive fuel cells to operate its forklift fleet,” said Andy Marsh, CEO of Plug Power. “Success with their initial implementation has led Mercedes to broaden their commitment to sustainable energy by ordering even more GenDrive units to power the fleet in their new logistics center.”
It is anticipated that the coming logistics center, which will be as large as the current vehicle assembly plant, will receive about 240 semi-trailer truck deliveries daily and the GenDrive hydrogen fuel cell-powered lift trucks will handle approximately 2.9 million automotive parts per day.
The architects of modern fuel cell technology, Plug Power is revolutionizing the industry with cost-effective power solutions that increase productivity, lower operating costs and reduce carbon footprints. Long-standing relationships with industry leaders forged the path for Plug Power’s key accounts, including Walmart, Sysco, P&G and Mercedes. With more than 4,000 GenDrive units deployed to material handling customers, accumulating over 12 million hours of runtime, Plug Power manufactures tomorrow’s incumbent power solutions today. Additional information about Plug Power is available at www.plugpower.com.
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This communication contains statements that are not historical facts and are considered forward-looking within the meaning of Section 27A of the Securities Act and Section 21E of the Exchange Act. These forward-looking statements contain projections of our future results of operations or of our financial position or state other forward-looking information. We believe that it is important to communicate our future expectations to our investors. However, there may be events in the future that we are not able to accurately predict or control and that may cause our actual results to differ materially from the expectations we describe in our forward-looking statements. Investors are cautioned not to unduly rely on forward-looking statements because they involve risks and uncertainties, and actual results may differ materially from those discussed as a result of various factors, including, but not limited to: the risk that we continue to incur losses and might never achieve or maintain profitability, the risk that we expect we will need to raise additional capital to fund our operations and such capital may not be available to us; the risk that we do not have enough cash to fund our operations to profitability and if we are unable to secure additional capital, we may need to reduce and/or cease our operations; the risk that a “going concern” opinion from our auditors, KPMG LLP, could impair our ability to finance its operations through the sale of equity, incurring debt, or other financing alternatives; the recent restructuring plan we adopted may adversely impact management’s ability to meet financial reporting requirements; our lack of extensive experience in manufacturing and marketing products may impact our ability to manufacture and market products on a profitable and large-scale commercial basis; the risk that unit orders will not ship, be installed and/or converted to revenue; the risk that pending orders may not convert to purchase orders; the risk that our continued failure to comply with NASDAQ’s listing standards may result in our common stock being delisted from the NASDAQ stock market, which may severely limit our ability to raise additional capital; the cost and timing of developing, marketing and selling our products and our ability to raise the necessary capital to fund such costs; the ability to achieve the forecasted gross margin on the sale of our products; the actual net cash used for operating expenses may exceed the projected net cash for operating expenses; the cost and availability of fuel and fueling infrastructures for our products; market acceptance of our GenDrive systems; our ability to establish and maintain relationships with third parties with respect to product development, manufacturing, distribution and servicing and the supply of key product components; the cost and availability of components and parts for our products; our ability to develop commercially viable products; our ability to reduce product and manufacturing costs; our ability to successfully expand our product lines; our ability to improve system reliability for our GenDrive systems; competitive factors, such as price competition and competition from other traditional and alternative energy companies; our ability to protect our intellectual property; the cost of complying with current and future federal, state and international governmental regulations; and other risks and uncertainties discussed under “Item IA—Risk Factors” in Plug Power’s annual report on Form 10-K for the fiscal year ended December 31, 2012, filed with the Securities and Exchange Commission (“SEC”) on April 1, 2013 and as amended on April 30, 2013 and the reports Plug Power filed from time to time with the SEC. These forward-looking statements speak only as of the date on which the statements were made and are not guarantees of future performance. Except as may be required by applicable law, we do not undertake or intend to update any forward-looking statements after the date of this communication.
Source: Plug Power
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