6 August 2009
The Tanfield Group Plc ("Tanfield", or the "Company")
US Associate Wins Federal Funding for Electric Vehicle Demonstrator Fleet
Darren Kell, CEO of The Tanfield Group Plc, said: "Right now, corporate America has tens of thousands of urban commercial vehicles in operation that could be immediately replaced with our electric vehicle technology.
"This Federal funding incentivises the purchase of seed vehicles for major fleet operators, thereby accelerating the switch from trial phase to volume orders.
"The programme will also allow us to deliver America's first fleet of electric light vans, produced in collaboration with Ford.
"Government initiatives such as this one and those recently announced in the UK will help to drive volume and ultimately lower the cost of our vehicles."
The Tanfield Group Plc ("Tanfield", or "the Company") is pleased to announce that its US Associate, Smith Electric Vehicles US Corporation ("SEV US Corp") has won Federal Government funding to accelerate development and deployment of its commercial electric vehicles.
The Department of Energy (DoE) is awarding SEV US Corp $10m, which will subsidise private sector procurement of a fleet of up to 100 commercial electric vehicles for a nationwide demonstration programme.
This fleet will include the 'Smith Newton' electric truck and the first Ford Transit Connect BEV electric light vans to be built in North America.
A portion of the DoE grant is also allocated for the purchase of equipment and workforce training, at SEV US Corp's new assembly facility in Kansas City, Missouri.
SEV US Corp plans to deliver the first vehicles under this programme in the final quarter of 2009, with the balance to be delivered in 2010. The time scale and delivery rate is dependent on receipt of purchase orders from fleet operators.
The funding is part of $2.4bn in electric vehicle and traction battery grants from the Department of Energy ("DoE") announced yesterday, under the American Recovery & Reinvestment Act. Other recipients include Ford and General Motors.
SEV US Corp last week delivered the first six Smith Newton trucks to Coca Cola Enterprises, AT&T, FritoLay and Staples, plus utilities Pacific Gas & Electric and Kansas City Power & Light. SEV US Corp anticipates these six launch partners will be among the first fleet operators to buy vehicles through the DoE programme.
For further information:
The Tanfield Group Plc +44 (0)845 1557 755
Darren Kell, CEO
Charles Brooks, FD
Arbuthnot Securities +44(0)20 7012 2000
Nomad and Broker
James Steel
Media Enquiries:
Dan Jenkins
The Tanfield Group Plc
+44 7725 784089
dan.jenkins@tanfieldgroup.com
Notes to Editors
Smith Electric Vehicles US Corp (SEV US Corp) is the US Associate of The Tanfield Group Plc.
Tanfield has licensed SEV US Corp to build, sell and service its commercial electric vehicles in North America. In exchange, Tanfield will receive a 49% equity holding in SEV US Corp, following the imminent completion of SEV US Corp's private fundraising.
SEV US Corp is establishing assembly facilities in Kansas City, Missouri, to produce the Newton truck in volume for North America. In 2010, SEV US Corp will commence production of the Ford Transit Connect BEV (Battery Electric Vehicle), in collaboration with Ford. This electric light van will be sold through Ford dealerships.
Tanfield has commenced training of assembly line workers for the Kansas City plant. SEV US Corp remains on course to achieve limited production in the third quarter of 2009, with an initial ramp-up anticipated in the final quarter of the year.
The Tanfield Group Plc is the world's leading developer of road-going commercial electric vehicles and a leading manufacturer of aerial work platforms. Tanfield is headquartered in Washington, Tyne & Wear, in the UK, with operations in Europe, Scandinavia, North America, the Middle East, Asia-Pacific and Africa. It is listed on the Alternative Investment Market (AIM) of the London Stock Exchange. The Company has two main divisions; Zero Emission Vehicles and Powered Access.
Zero Emission Vehicles is focused on developing the Smith Electric Vehicles brand. Smith was founded in 1920 and acquired by Tanfield in October 2004. Following its acquisition, Smith has developed into a world leader in new technology commercial electric vehicles, with top speeds of up to 70mph, a range on one battery charge of 100 miles and excellent payload capabilities. This makes the vehicles attractive for public and private sector fleet operators in large towns, cities and closed campus environments such as airports and military bases. Customers include TNT, DHL, Royal Mail, BT, Sainsbury's Online and Balfour Beatty. Tanfield is Ford of Europe's official collaborator for battery electric versions of the Ford Transit and Transit Connect vans. Smith has an unrivalled UK-wide service and support network, which already maintains over 5,000 vehicles for major fleet operators. In North America, Ford has also chosen Tanfield to produce a battery electric version of the Ford Transit Connect, to go on sale in 2010. This will be delivered via Smith Electric Vehicles US Corp, Tanfield's US Associate. In the UK, Tanfield is one of three commercial electric vehicle suppliers shortlisted for the Department of Transport's Low Carbon Vehicle Procurement Programme, to deliver electric vans into key public sector organisations. Tanfield also recently secured funding from the Government's Technology Strategy Board, to extend its commercial electric vehicle technology into passenger vehicles. This includes an electric taxi cab based on the TX4 chassis produced by London Taxis International Ltd, plus a zero emission minibus and a battery-powered people carrier.
Powered Access contains two of the world's most established global brands in aerial work platforms, UpRight Powered Access and Snorkel International. UpRight is the UK's largest manufacturer of self-propelled aerial work platforms (also known as "cherry-pickers", "mobile elevating work platforms", "aerial lifts", etc). UpRight has assembly facilities in the UK and China, with products sold through a network of over 200 independent, full-service distributors and sales agents across Europe, Scandinavia, the Middle East and Asia-Pacific regions. Snorkel, acquired in August 2007, has substantial manufacturing capabilities, along with strong sales and distribution, in North America and Australasia. Tanfield has successfully extended its powered access product range and is now one of only three "full line" aerial lift manufacturers to have a significant global footprint in both the North America and EMEA regions, in what is a $7bn annual market.
www.upright.com / www.snorkellift.com
ENDS