| Unique Value Proposition, Demand, Solution | Fuel Cell Applications and Altergy Markets | Fast Facts |

Fuel Cell Applications and
Altergy Markets

There are currently three primary applications for fuel cell power systems:
(1) stationary power systems that can provide primary or backup power for commercial or residential use, (2) portable systems such as generators or battery replacements, and (3) motive applications such as automobiles, forklifts, buses and other vehicles.

Although Altergy's barrier breaking technology can be used for all three applications, the Company primarily concentrates its efforts on satisfying stationary power needs in two arenas:

Critical telecommunications operations ~ in the United States alone, the market for fuel cell backup systems is estimated at $2-$3 billion (Citigroup/CTIA, August 2005);

Uninterruptible Power Supplies (UPS) for information processing centers, acute medical care, homeland security and other 24/7 operations ~ worldwide, this market is estimated at $4-$7 billion (Frost & Sullivan; BCC, 2005).

Altergy Freedom Power™ systems provide freedom from the grid, freedom from foreign oil, freedom from traditional energy solutions, freedom from batteries and freedom from pollution. These fully integrated, self contained, high efficiency systems generate power at the point-of-use, making low cost, distributed power generation a reality.