Ener1 Chairman Adds CEO TitleFounder and Former CEO Becomes President and CTO NEW YORK, Aug. 20 -- Charles Gassenheimer, Chairman of lithium-ionautomotive battery manufacturer Ener1, Inc. (AMEX:HEV) , today assumed the role of Chief Executive Officer. Company founderand former CEO Dr. Peter Novak moved into the new position of ChiefTechnology Officer and President. Dr. Novak will oversee the furtherdevelopment of Ener1 subsidiaries, NanoEner and EnerFuel, while continuingto provide technical leadership for Ener1's advanced automotive batterydivision, EnerDel. (Logo: http://www.newscom.com/cgi-bin/prnh/20080312/CLW018LOGO ) 'I am pleased to hand over the chief executive title to Charles, who hassteadily proven his ability to lead this company to fulfill its potentialas a world industry leader,' Dr. Novak said. 'The market opportunity hasgrown tremendously in business scale and complexity over the years and weare now prepared to take full advantage of it.' 'As Ener1 chairman since 2006, I've had the privilege of facilitatingthe company's emergence as a bona fide manufacturing enterprise poised togain a dominant position in an industry that will have a major impact onsociety globally,' Mr. Gassenheimer said. 'It is clear that energy storagewill be crucial in solving the world's energy problems. The lithium-ionbattery will almost certainly play a central role in the first, andpossibly most significant, hurdle to achieving that goal: theelectrification of the automobile industry.' In addition to Ener1's battery operations, its wholly-owned subsidiary,NanoEner, creates highly specialized vapor deposition coating technologycrucial for safe, cost-effective production of lithium-ion batteries andother advanced energy storage devices.Another wholly-owned subsidiary,EnerFuel, provides manufacturers and other developers of high-temperaturefuel cells with engineering and testing services. 'Fuel cells and nanotechnology are crucial components in the laterstages of electrification of the automotive industry,' Dr. Novak said.'Bycombining different alternative energy strategies, Ener1 is pioneering thenext generation of automotive power sources.' The company also announced the addition of Mark D'Anastasio to its Boardof Directors. Mr. D'Anastasio, president of Washington, D.C.-basedEmerging Markets Communications LLC, brings to the Ener1 board twenty yearsof experience in strategic communications for global leaders in business,including five years as Chairman of the International Development Practicefor Burson-Marsteller. About Ener1, Inc.: Ener1 develops and manufactures compact, high performance lithium-ionbatteries to power the next generation of hybrid and electric vehicles. Thepublicly traded company (AMEX:HEV) (AMEX:-) (AMEX:News) is led by an experienced team of engineers and energy system experts atits EnerDel subsidiary located in Indianapolis, which is buildingproprietary battery systems based on technology originally pioneered withthe assistance of the Argonne National Lab. Ener1 is seeking to become the first company to mass-produce acost-competitive lithium-ion battery for hybrid and electric vehicles.Demand for battery solutions is being driven by a need to reduce dependenceon oil as well as growing concern about vehicle emissions. In addition tothe automobile market, applications for Ener1 lithium-ion batterytechnology include medical, military, aerospace, electric utility and othergrowing markets. EnerDel recently received the prestigious R&D 100 award for excellencein its technology and uniquely innovative design. The award is shared byEnerDel and its research partners at Argonne National Laboratory. EnerDelis an active member of the United States Advanced Battery Consortium, whichworks closely with automakers, component companies and others to acceleratethe commercial development of new battery technology. Major shareholders of Ener1 include Ener1 Group, Inc., a privately held,global investment and advisory firm, and ITOCHU Corporation, a Japanesetrading company and distributor of manufacturing equipment essential tolithium-ion battery production. ITOCHU has annual revenue of approximately$90 billion and offices in more than 80 countries. Ener1 has also receivedfunding from a growing number of institutional investors. In addition to battery technology, Ener1 develops commercial fuel cellproducts through its EnerFuel subsidiary and nanotechnology-based materialsand manufacturing processes for batteries and other applications throughits NanoEner subsidiary. Contacts: INVESTOR RELATIONS: MEDIA RELATIONS Rachel Carroll Jon Coifman VP Corporate Communications Waggener Edstrom Worldwide P: 212 920 3500*105 P: 212 907 6516 E: [email protected] E: [email protected]:http://www.newscom.com/cgi-bin/prnh/20080312/CLW018LOGOAP Archive: http://photoarchive.ap.org/PRN Photo Desk, [email protected]