Ballard Announces Closing of Sale of German Subsidiary to DaimlerChrysler and Ford

"At Ballard, we have one vision, one goal - to develop fuel cellpower as a practical alternative to internal combustion automotiveengines. We will succeed through our relentless commitment totechnology leadership. Today, we are better positioned than ever toachieve that goal," said Dennis Campbell, Ballard's President andChief Executive Officer. "We are stronger financially, with therecovery of approximately $20 million in expenses and an annualreduction in cash consumption of $25 million. We are strongerstrategically, with a sharpened focus on our core competency - fuelcell design, development and manufacture. And we will continue tobenefit from the strength of our Fuel Cell Alliance withDaimlerChrysler and Ford."

About Ballard Power Systems

Ballard Power Systems is recognized as the world leader in thedesign, development, and manufacture of zero-emission proton exchangemembrane fuel cells. Ballard's mission is to develop fuel cell poweras a practical alternative to internal combustion engines throughtechnology leadership. To learn more about what Ballard is doing withPower to Change the World(R), visit www.ballard.com.

This release contains forward-looking statements that are based onthe beliefs of Ballard's management and reflect Ballard's currentexpectations as contemplated under section 27A of the Securities Actof 1933, as amended, and Section 21E of the Securities and ExchangeAct of 1934, as amended. When used in this release, the words"estimate", "project", "believe", "anticipate", "intend", "expect","plan", "predict", "may", "should", "will", the negative of thesewords or such other variations thereon or comparable terminology areintended to identify forward-looking statements. Such statementsreflect the current views of Ballard with respect to future eventsbased on currently available information and are subject to risks anduncertainties that could cause actual results to differ materiallyfrom those contemplated in those forward-looking statements.

All figures are reported in U.S. dollars. Ballard, the Ballardlogo and Power to Change the World are registered trademarks ofBallard Power Systems Inc.

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