JINHUA, CHINA--(Marketwire - May 21, 2012) - Kandi Technologies, Corp. (the 'Company' or 'Kandi') (NASDAQ: KNDI), a leading Chinese manufacturer and developer of pure electric vehicles (EVs) and all-terrain vehicles (ATVs), reported today a seminar in Beijing on May 16th attracted top Chinese government officials, and other environmental and transportation experts to review a nine-month long feasibility study of Kandi's innovative plan for a comprehensive Pure EV rental system for reducing traffic, parking and pollution problems in cities throughout China. First proposed by Kandi in August, 2011, the plan envisions Hangzhou as the first test site for a new transportation system which would make available 100,000 self-driven Pure EV rentals at centrally operated "smart" vertical parking and charging facilities to be constructed at key locations throughout Hangzhou.
Seminar Leaders and Studies Presented
The Beijing gathering was held under the auspices of the Enterprise Institute of the Development Research Center of the State Council and entitled "China's Innovative Exploration of an EV Business Model and the Hangzhou Self-driving Pure EV Rental Public Transportation Project." At the seminar, a research team led by experts at the Development Research Center of the State Council of China, the China Society Of Automotive Engineers ("SAE") and Zhejiang University presented for discussion two reports entitled "China's Innovative Exploration of an EV Business Model and Corresponding Policies" and "The Feasibility Study of a Public Transportation Project of 100,000 Self driving Rental EVs in Five Years in Hangzhou City." These were based on the feasibility study first begun nine months ago, entitled "Exploration of a New Business Model for Electric Vehicles and the Public Transportation Project of 100,000 Self driving EV Rentals in Five Years in Hangzhou City," as proposed by Kandi.
Key Luminaries in Attendance
Attendees at the seminar included senior officials and department leaders from the National Development and Reform Commission ("NDRC"), Ministry of Finance, Ministry of Science and Technology, National Grid, Zhejiang Province Development and Reform Commission, Economic & Information Commission of Hangzhou City as well as many academics from the Chinese Academy of Engineering ("CAE").
Presentation By Kandi Chairman Mr. Hu
Mr. Xiaoming Hu, Chairman and CEO of Kandi, was asked to address the group. In his remarks, Mr. Hu explained in detail the feasibility of building a 100,000 Pure EV network in Hangzhou within five years.
He said that in Kandi's model, only Pure EVs will be made available to the public as rental cars in a rental service system connected with an automated parking system at "smart" vertical parking buildings to be built at a number of key locations throughout the city including the airport, train stations, business centers, apartment complexes and other places that are the focus of commuter traffic in and around the city.
Vehicle Charging While Cars Are Parked
Mr. Hu explained further the key element of the vertical parking system envisioned in the report namely, "smart" automated mechanical parking systems, equipped with automatic charging stations. The fully integrated system will allow for monitoring, charging and maintenance of the EVs, parking, an energy supply and an automated mechanism for handling all related transactions. Other features of the system include vehicle locating devices to ensure easy arrivals, departures and safe parking. Of note, the charging of vehicles occurs automatically while vehicles are parked.
In addition to providing centralized management of battery charging, maintenance and rent collection, the new system also is highly efficient with respect to utilization of land resources. For example, only 0.5 square meters of space is required in each parking facility for each vehicle or, in other words, 200 vehicles will be able to park in 100 square meters of space.
A Remarkable Revolution
Most important, according to Mr. Hu, will be the substantial improvements in traffic management, environmental contamination, and the savings in time and effort for obtaining parking spaces that are envisioned. The feasibility reports suggest that the proposed infrastructure capable of managing 100,000 EVs, would be a breakthrough in the evolution of EVs, and Mr. Hu noted further, "with respect to traffic conditions in the city, it would be a remarkable revolution."
Voicing strong interest at the meeting on the innovative EV rental business model as proposed were such leaders as Mr. Qingtai Chen, former secretary and deputy director of leading Party group of Development Research Center of the State Council, Mr. Weidou Ni, an academician of CAE, and president of the China Energy Society, Mr. Yusheng Yang, academician at CAE and, Mr. Yi Lin, Chairman of New Energy Vehicle Co. of Beijing Automotive Industry Holding Company as well as other invited experts.
Additionally, Hangzhou was seen as an appropriate city in which to promote the project. As a pilot EV city, if the rental plan is successful there, it is believed it would be widely promoted elsewhere. There was also a feeling that at this stage of its growth, the EV industry needs continuing government support for this innovative business model in that, at this incubation stage, business model innovation is even more important than technical innovation.
Mr. Hu further noted Kandi is involved with the Hangzhou government in a cooperative effort with others such as State Grid and Air China Group (the lithium battery business of Air China) in the implementation of an EV "battery swapping model" for the launch of 20,000 EVs in the market. He sees this as an excellent foundation in which sufficient experience will be gained to build a pure EV rental network.
About Kandi Technologies, Corp.
Kandi Technologies, Corp. (NASDAQ: KNDI) is a manufacturer and exporter of a variety of vehicles in China, making it a world leader in the production of popular off-road vehicles (ORVs). It also ranks among the leading manufacturers in China of all-terrain vehicles (ATVs), specialized utility vehicles (UTVs), and a recently introduced second-generation high mileage, two-seat three-wheeled motorcycle. Another major company focus has been on the manufacture and sale of the COCO electric vehicle (EV), a highly economical, beautifully designed, all-electric super mini-car for neighborhood driving and commuting. The convertible and hardtop models of the COCO EV are available in the United States and other countries, while the Chinese government has approved the sale of Kandi EVs in China since 2010. The Company's products can be viewed at http://www.kandivehicle.com and its corporate website is http://www.chinakandi.com.
Safe Harbor Statement
This press release contains certain statements that may include "forward-looking statements." All statements other than statements of historical fact included herein are "forward-looking statements." These forward-looking statements are often identified by the use of forward-looking terminology such as "believes," "expects" or similar expressions, involving known and unknown risks and uncertainties. Although the Company believes that the expectations reflected in these forward-looking statements are reasonable, they do involve assumptions, risks and uncertainties, and these expectations may prove to be incorrect. You should not place undue reliance on these forward-looking statements, which speak only as of the date of this press release. The Company's actual results could differ materially from those anticipated in these forward-looking statements as a result of a variety of factors, including the risk factors discussed in the Company's periodic reports that are filed with the Securities and Exchange Commission and available on the SEC's website (http://www.sec.gov). All forward-looking statements attributable to the Company or persons acting on its behalf are expressly qualified in their entirety by these risk factors. Other than as required under the securities laws, the Company does not assume a duty to update these forward-looking statements.