Sustainable Energy Technologies Ltd.
TSX VENTURE : STG

Sustainable Energy Technologies Ltd.

May 05, 2010 08:30 ET

Sustainable Energy Partners With Leading EMS Manufacturer -Plexus Corp- for Global Manufacturing and Supply Chain Strategy

Highlights:

- Manufacturing strategy combines Plexus Corp world class technical and manufacturing expertise with Sustainable Energy's unique design platform to maintain drive for lowest manufactured cost;

- Combination of Sustainable Energy's SUNERGY inverter design and new manufacturing flexibility enables rapid response to changing demand profiles from different geographical markets;

- European manufacturing for European market provides a natural hedge to foreign exchange risk shorter supply lines and reduced working capital costs;

- Sustainable Energy maintains commitment to becoming Canada's leading solar technology company

TORONTO, ONTARIO--(Marketwire - May 5, 2010) - Sustainable Energy Technologies Ltd (TSX VENTURE:STG) ("Sustainable Energy" or the "Company") a solar electric technology developer and manufacturer of next generation solar inverters today announced that it is partnering with Plexus Corp (NASDAQ: PLXS) a leading EMS manufacturer to manage the Company's electronics supply chain for all markets and to manufacture Sustainable Energy's SUNERGY inverters for the European market.

Under a memorandum of understanding between the parties, Plexus Corp will supply the critical power electronics sub-assemblies of the SUNERGY inverters for both European and North American markets and will be responsible for final assembly in Europe of SUNERGY inverters for European markets. Inverters for Ontario and other North American markets will be manufactured in Ontario by the Company to meet Ontario's domestic content thresholds for the Province's solar Feed in Tariff Program.

"The partnership with Plexus is a key element of our business strategy plan, offering a number of advantages including better access to critical electronics components, reduction of direct manufactured cost, an ability to respond more quickly to changes in market demand for product as well as a natural hedge to foreign exchange effects by geographically aligning our manufacturing with our key markets," said Sanjay Razdan, President & CEO of Sustainable Energy.

"Building on our strong reputation for developing and deploying outstanding products on behalf of best in class companies, the Plexus team is delighted to have been selected by Sustainable Energy", said Jim DiBurro, Plexus' Vice President, Industrial and Commercial Market Sector. "We're focused on engaging with some of the most promising companies in the Renewable Energy sector. As costs continue to escalate for traditional energy sources, we believe Sustainable Energy's advanced inverter technology will play a substantial role in the maturation of the solar energy market sector. We look forward to a long and mutually advantageous relationship between our two companies."

The SUNERGY low voltage design uses the same power electronics platform interchangeably among a range of different products to meet the various regulatory specifications and changing demands of diverse geographical markets. This is a proven strategy to reduce manufactured cost with higher volume manufacturing of electronics sub-assemblies and commonality of design improvements across a range of products.

"Plexus is a world class EMS manufacturer. The relationship streamlines Sustainable Energy's cost structure and takes advantage of our flexible platform design philosophy to achieve our goal of having the lowest direct cost to manufacture in the industry," said Greg Nelson Executive Vice President & Chief Operating Officer of Sustainable Energy.

Sustainable Energy currently manufactures all sub-assemblies for SUNERGY products in China with final assembly and testing of products destined for Ontario at a sub-contracted facility in Cambridge Ontario. The Company is in the final stages of selecting a site in Ontario where it will establish a manufacturing and distribution centre for the Province and for other North American markets.

"Sustainable Energy's technologies may be Canada's most significant contribution yet to making solar power part of the mainstream power grid," said Razdan. "We are committed to building on these technologies to make Sustainable Energy Canada's leading solar technology company."

About Plexus Corp. – The Product Realization Company

Plexus (www.plexus.com) is an award-winning participant in the Electronic Manufacturing Services (EMS) industry, providing product design, supply chain and materials management, manufacturing, test, fulfillment and aftermarket solutions to branded product companies in the Wireline/Networking, Wireless Infrastructure, Medical, Industrial/Commercial and Defense/Security/Aerospace market sectors.

The Company's unique Focused Factory manufacturing model and global supply chain solutions are strategically enhanced by value-added product design and engineering services. Plexus specializes in mid- to low-volume, higher-mix customer programs that require flexibility, scalability, technology and quality.

Plexus provides award-winning customer service to more than 100 branded product companies in North America, Europe and the Asia Pacific region.

About Sustainable Energy Technologies Ltd: Sustainable Energy (www.sustainableenergy.com ) designs, manufactures and distributes power inverters for grid-connected solar PV systems under the SUNERGYTM trademark. Advanced power inverters are a critical enabler of all modern solar PV power systems converting the direct current ("DC") power output of the solar PV modules into the high quality alternating current ("AC") power required by the power grid. Advanced power inverters also optimize the performance of the solar PV modules and maintain the integrity and safety of the interconnection with the power grid.

The SUNERGY inverter is the only inverter platform manufactured today, which enables the game-changing parallel system architecture with industry leading efficiencies and with an industry standard cost and form factor. Its PARALEXTM (www.paralexsolar.com) system architecture enables each solar module to operate independently of any other module in the system delivering 5-15% increased energy yield, without the expensive hardware and continuing maintenance cost of micro-inverter products. Every module delivers its maximum power potential while eliminating the string inverter impact of shading, soiling and other real world factors.

The extra low operating voltage of the SUNERGY platform enables a system architecture that is inherently safe and that can be installed and maintained by most building trades without the need for custom design, significantly reducing the installed system cost and increasing investor yields.

Sustainable Energy's technologies are the subject of multiple patents issued by and pending with the US Patent and Canadian Patent Offices.

Forward Looking Information

The reader is advised that some of the information herein may constitute forward-looking statements within the meaning assigned by National Instruments 51-102 and other relevant securities legislation. In particular, we include: statements concerning the impact of our targeted manufactured cost the benefits of locating manufacturing nearer to our markets and the value of our technology and products for solar PV systems. Forward-looking information is not a guarantee of future performance and involves a number of risks and uncertainties. In particular there is no assurance that performance of the systems will be as estimated or that market demand in Ontario will materialize
Many factors could cause the Company's actual results, performance or achievements, or future events or developments, to differ materially from those expressed or implied by the forward-looking information. Readers are cautioned not to place undue reliance on forward-looking information, which speaks only as of the date hereof. Readers are also directed to the Risk Factors section of the Company's current Annual Information Form which may be found on its website or at www.sedar.com The Company does not undertake any obligation to release publicly any revisions to forward-looking information contained herein to reflect events or circumstances that occur after the date hereof or to reflect the occurrence of unanticipated events, except as may be required under applicable securities laws.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

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