Joseph S. Paresi, Chairman of AMP Holdings Inc. (OTCBB: AMPD) Provides an Update to Shareholders
Sep 28, 2011, 07:30 ET
CINCINNATI, Sept. 28, 2011 /PRNewswire/ --
To Our Shareholders:
It has been about nine months since Jim Taylor, CEO, and I joined AMP Holdings Inc., the parent company of AMP Electric Vehicles, Inc. In that time, there has been noticeable growth in the acceptance of electric vehicles within the United States and worldwide. We believe industry-wide sales of electric vehicles in 2011 are growing significantly and we are bullish about the EV market.
We believe our unique offering of converted electric Sport Utility Vehicles – the only such offering in the world – is a more practical product for a broader customer base than the small to mid-size models expected from other EV companies in the near future. There is no EV manufacturer offering the benefits of the large seating and cargo capacity of the AMP SUV models.
AMP has been able to "walk the walk" with real-world test drives of our various models. So far, many of those who have test-driven an AMP SUV stated their reaction as "Impressive." Our AMP video, which is available on line at www.ampelectricvehicles.com shows more about our products and concludes with a race between an ML 350 and an ML EV -- the ML EV outpaces the ML internal combustion engine version. Smooth acceleration is just one of the side benefits of our EVs. Check it out.
AMP will also be at the Business of Plugging In (BPI) conference in Detroit next month and will participate in the ride and drive activities with our AMP EV ML. We hope you will be able to join us. In the meantime, please feel free to contact us at AMP to learn more about our vehicles and set up a test drive!
Much of the first half of this year was focused on taking a great original EV design by the founding team and advancing it to a more robust and cost-competitive version. Significant modifications have been made to the electric motor assembly, the controllers and the battery assemblies, and we have hired seasoned automobile experts to take the company to the next level of engineering, procurement and financial management. Jim Taylor and his team have made tremendous strides in the development of the two key models we are offering at this time – the 100% electric Mercedes Benz M-Class and Jeep Grand Cherokee.
Often people want to know about the uniqueness of our AMP design. The core approach that our design team took that was different from other EV suppliers, which includes dual, back-to-back direct-drive electric motors, named e-Dual Direct Drive™. This provides both greater efficiency and the ability to propel larger vehicles, an emphasis on maintaining the weight distribution of the base vehicle to maintain comparable vehicle handling, and an advanced "software" differential that provides superb acceleration while maintaining significant vehicle driving range. A major consideration for any electric vehicle is the battery. To provide the best solution for our vehicles, AMP ran a broad competition and has signed an MOU with a leading battery manufacturer to supply advanced batteries for our vehicles.
To assist us with our product advancements, we have hired Roush Industries Inc. and ESG Automotive Inc. to provide product support as well as independent validation and certification of our hardware and software designs. Our procurement team is negotiating blanket purchase orders that will provide improved parts pricing for our vehicle components. We have signed a lease and have moved into a new larger facility in the Cincinnati area, one that will provide both advanced engineering and additional manufacturing capacity. We are also in discussions with several large firms regarding the sale of CO2 credits to automobile OEMs.
We are still on track to deliver vehicles on our initial contract with Northern Lights Energy of Iceland, with our first set of vehicles ready to be shipped.
AMP has hired the Washington DC based firm, Kelly, Anderson & Associates, to support our planned proposal to the Department of Energy (DoE) relative to the Advanced Technology Vehicle Manufacturing (ATVM) program, which has the ability to provide 2% government-guaranteed loans.
On the marketing front, we are talking to Northern Lights Energy (NLE) about expanding their current order for our SUVs. At the same time we are talking with several firms regarding distribution in other key markets in Scandinavia and the rest of Europe. Some of our key advantages of these markets include an alternative to very high fuel prices, generally low-cost electricity and significant tax incentives that equalize the cost of EVs to their combustion engine counterparts. We are talking with a firm that offers a large distribution network as well as with several large car-rental firms and power companies. Over the last several months, the hardworking employees of AMP have put their heads down and plowed ahead to advance our status as an EV provider. I want everyone to know that we appreciate the need to provide more regular updates on the status of our company's progress. Toward this objective, we have engaged the New York firm, Allen & Caron Inc., as our Investor Relations partner.
We hope to see you at the BPI conference in October: http://www.bpiconference.com/. Many thanks for your patience, goodwill and ongoing support.
Forward Looking Statements
Certain statements contained in this letter may constitute "forward-looking statements". Forward-looking statements provide current expectations of future events based on certain assumptions and include any statement that does not directly relate to any historical or current fact. Actual results may differ materially from those indicated by such forward-looking statements as a result of various important factors as disclosed in our filings with the Securities and Exchange Commission located at their website (http://www.sec.gov). In addition to these factors, actual future performance, outcomes, and results may differ materially because of more general factors including (without limitation) general industry and market conditions and growth rates, economic conditions, and governmental and public policy changes. The forward-looking statements included in this letter represent the Company's views as of the date of this letter and these views could change. However, while the Company may elect to update these forward-looking statements at some point in the future, the Company specifically disclaims any obligation to do so. These forward-looking statements should not be relied upon as representing the Company's views as of any date subsequent to the date of this letter.
Contact: Michael Mason, Investors, 212-691-8087, [email protected]
SOURCE AMP Electric Vehicles, Inc.
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