SOURCE: Power Air Corporation

May 20, 2008 08:30 ET

Power Air Corporation Raises $1.5 Million Through Private Placement of Common Stock

LIVERMORE, CA--(Marketwire - May 20, 2008) - Power Air Corporation (OTCBB: PWAC), the clean energy zinc power company, today announced it has completed a private placement of its common stock raising gross proceeds of $1.5 million from H-Plus Eco Ltd., a Korean environmental company founded and led by Mr. Jahong Hur, a member of Power Air's Board of Directors.

The Company will use the proceeds for working capital purposes, including planned commercialization of its proprietary ZPAC Series Power Packs. The private placement of $1.5 million brings total investment in Power Air to over $9.5 million, since it first became a public company in 2005. A total of $6 million was also invested in Power Air prior to its completion of a reverse merger into a publicly traded shell on September 30, 2005.

"We continue to attract funding as the potential and reach of our technology, our markets and our target products are further recognized and understood," stated Donald Ceci, President and CEO of Power Air. "We are very fortunate to have the longstanding technical and financial support of H-Plus Eco, and appreciate the tremendous vote of confidence that their investment in Power Air demonstrates."

About H-Plus Eco Ltd.

H-Plus Eco Ltd. was founded in November 2000 and is a leading company in environmental consulting, engineering and construction for contaminated soil and wastewater in Korea. H-Plus has an excellent business network with refineries, engineering companies and motor companies in Korea, such as GS Caltex, GSE&C and Hyundai/Kia Motors.

About H-Plus Group

H-Plus group is composed of three companies (H-Plus Bio Ltd., H-Plus Clean Air World Ltd., and H-Plus Eco Ltd.), whose main business is focused on the environment and alternative energy. H-Plus Group is aiming to be a total environment solution provider.

About Power Air Corporation

Headquartered in Livermore, California with offices and research facilities in Vancouver, Power Air is a forward-thinking clean energy company engaged in commercializing proprietary, high performance Zinc Air Fuel Cell (ZAFC)-based products for the mobile electronics, portable and stationary power generation, light mobility and transportation markets. Power Air holds the exclusive worldwide license for the development and commercialization of products utilizing ZAFC technology pioneered through an extensive joint collaboration effort with Lawrence Livermore National Laboratory and the United States Department of Energy. For more information, please visit www.poweraircorp.com.

This press release includes statements that may constitute "forward-looking" statements, usually containing the words "believe," "estimate," "project," "expect" or similar expressions. These statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements inherently involve risks and uncertainties that could cause actual results to differ materially from the forward-looking statements. Factors that would cause or contribute to such differences include, but are not limited to, acceptance of the Company's current and future products and services in the marketplace, the ability of the Company to develop effective new products and receive regulatory approvals of such products, competitive factors, dependence upon third-party vendors, and other risks detailed in the Company's periodic report filings with the Securities and Exchange Commission. By making these forward-looking statements, the Company undertakes no obligation to update these statements for revisions or changes after the date of this release.

Contact Information

  • FOR ADDITIONAL INFORMATION, PLEASE CONTACT:
    ELITE FINANCIAL COMMUNICATIONS GROUP, LLC
    Dodi Handy
    President & CEO
    407-585-1080
    PWAC@efcg.net