SOURCE: Kandi Technologies, Corp.

Kandi Technologies, Corp.

December 17, 2010 08:00 ET

Chairman of Kandi Technologies Reiterates Growth Plans at 2010 Annual Meeting of Shareholders

Two New Independent Directors Elected to the Board

JINHUA, CHINA--(Marketwire - December 17, 2010) - Kandi Technolgies, Corp. (NASDAQ: KNDI) ("Kandi" or the "Company"), a leading Chinese exporter of all terrain recreational vehicles, developer of the "CoCo" all electric LSV, and a leader in Electric Vehicle (EV) development in China, held its 2010 Annual Meeting in Hong Kong on December 17. Shareholders elected seven directors, including two new independent directors and ratified the appointment of Albert Wong & Co. as corporate auditor for fiscal year 2010.

The three re-elected directors who also serve as corporate officers are Mr. Hu Xiaoming, Chairman of the Board, CEO and President, Mr. Hu Wangyuan, Vice President and Director, and Ms. Zhu Xiaoying, Chief Financial Officer and Director.

Two independent directors, Mr. Zheng Mingyang and Mr. Yao Zhengming, were re-elected. In the addition, the new independent Board members replacing two retiring directors are:

Mr. Jerry Lewin, Senior Vice President of Field Operations for Hyatt Hotels Corporation, who is responsible for 35 hotels throughout North America. He has been with Hyatt since 1987. In his day-to-day operations, Mr. Lewin oversees finance, sales and marketing, public relations, customer service, engineering and human resources. He also serves as a member of Hyatt's Managing Committee. He is a director of the New York City Hotel Association, President of The New York Law Enforcement Association, President of the NYS Troopers PBA Signal 30 Fund and a former Trustee of Metropolitan College. Mr. Lewin received his Bachelor of Science degree from Cornell University and completed the Executive Development Program at J.L. Kellogg Graduate School of Management at Northwestern University.

Prominent EV expert, Professor Ni Guangzheng, who is a Deputy Director of the Technical Committee and Director of the EV Research Institute of the National ERC of Power Electronic Technology since 1998. Previously, Professor Ni was head of the Department of Electrical Engineering at Zhejiang University from 1994-1998 and has held numerous other high level academic and scientific positions. Additionally, he has published ten textbooks, more than 160 journal and conference papers and holds one patent. He also has received numerous awards and prizes for his research in electromagnetics and electrical engineering including two first class prizes in 1996 and 2007 awarded by the Ministry of Education.

Mr. Hu welcomed the new independent directors and stated, "Our four independent directors will provide investor perspective to the Board and reflect our interest in maintaining and improving Kandi's corporate governance practices and transparency to best serve the interest of all shareholders."

Growth Plans Reiterated

In his address to shareholders at the meeting, Mr. Hu reiterated the Company's previously announced growth forecast of "revenues reaching or exceeding $40 million," for 2010, which he noted would be close to a record for the Company.

Mr. Hu also commented on the "tremendous demands" for clean energy and energy saving products in China such as Kandi's battery powered vehicle, the KD5010 and other models the Company may develop. He stated, "We anticipate growing interest in our EV from various local municipal services such as the Postal Service. At the same time, we will look to expand our Chinese consumer base, and to derive revenues from auto sales as well as from servicing the cars working with our joint venture partners."

Mr. Hu concluded, "Longer term, the outlook for Kandi is very bright. Around the world there is growing interest in electric vehicles and our 'Express Change' business model. We strive to be a leading market player in this space, not only with the introduction of KD 5010EVs for Chinese consumers and the CoCo for the U.S. and other countries, but also with continuing innovations throughout the year. Great design and innovation always have been hallmarks of our Company -- and this will continue to be the case in the future."

The full text of Mr. Hu's comments is available in an 8-K being filed today with the U.S. Securities and Exchange Commission and may be viewed at www.sec.gov.

About Kandi Technologies, Corp.

Kandi Technologies, Corp. (NASDAQ: KNDI) ranks as one of the largest manufacturers and exporters of go-karts in China, making it a world leader in the production of this popular recreational vehicle. It also ranks among the leading manufacturers in China of all terrain vehicles (ATVs), and specialized utility vehicles (UTVs), especially for agricultural purposes. Recently, it introduced a second generation high mileage, two seater three-wheeled motorcycle. A major company focus also has been on the manufacture and sales of highly economical, beautifully designed, all electric super mini cars for neighborhood driving and commuting. Available in the U.S., convertible and hardtop models of the CoCo travel up to 60 miles at speeds reaching 25mph on a six hour charge. In China, the government recently approved the sale there of Kandi EVs, including the larger, more powerful KD5010, now being sold in Jinhua City, where the city's first "Battery Charging Farm" and "Express Change" battery station has opened. This and planned additional "Express Change" battery stations are operated by a pioneering three partner joint venture in which Kandi holds a 30% interest with China's leading battery maker, Tianneng Power International, Ltd., and Jinhua Bada Group, a subsidiary of State Grid Power Corporation, China's largest power company. Participation in China's first Electric Vehicle (EV) battery replacement services company will mean the development of two revenue streams for Kandi -- one from the sale of its battery-powered vehicles and the other from a share of the battery rental, replacement, charging and recycling fees generated by the new joint venture. Kandi believes that battery powered, electric super minis and related services will become the Company's largest revenue and profit generator. The Company's products can be viewed at http://www.kandivehicle.com. Its corporate/ir website is http://www.chinakandi.com.

Information Regarding Forward-Looking Statements

Except for historical information contained herein, the statements in this Press Release are forward-looking statements that are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements involve known and unknown risks and uncertainties, which may cause our actual results in future periods to differ materially from forecasted results. These risks and uncertainties include, among other things, product demand, market competition, and risks inherent in our operations. These and other risks are described in our filings with the Securities and Exchange Commission.

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