Amerigon reports 1997 first quarter results; company finalizes a binding letter of intent with Yazaki Corp.

MONROVIA, Calif.--(BUSINESS WIRE)--April 28, 1997--Amerigon Inc. (NASDAQ:ARGNA), a development stage company for components and systems for the commercial automotive and international electric vehicle markets, today reported 1997 first quarter results for the period ended March 31, 1997.

The company also announced that it has finalized a binding letter of intent with Yazaki Corp. to develop and market the company's Interactive Voice System (IVS(TM)), a voice activated navigation system.

Revenues in the first quarter were $396,000, compared to $3,054,000 in the year ago first quarter. Revenues decreased because of the completion of a major electric vehicle development contract with no replacement revenues.

The company reported a first quarter net loss of $1,941,000, or a loss of 30 cents per share, compared to a net loss of $620,000, or 15 cents per share in the year ago first quarter period.

Under the terms of the letter, Yazaki Corp. is providing up to $1 million in support funding for the IVS(TM) development. This funding reimburses Amerigon's costs and is subject to return under certain circumstances. Amerigon would also receive $2 million in cash from the joint venture within one year of the parties' execution of a definitive joint venture agreement.

Lon E. Bell, chairman and chief executive officer, commented, "We are extremely pleased about continued progress with Yazaki Corporation. This joint venture would combine our important technology with a strong partner to continue the ongoing development and marketing of IVS(TM) products."

Founded in 1991, Amerigon is a development stage company developing high-tech products for the commercial automotive market. -0-

                            AMERIGON INC.
                  (A Development Stage Enterprise)

                CONDENSED STATEMENT OF OPERATIONS
               (In thousands, except per share data)

                                    Three Months        April 23, 1991
                                   Ended March 31,        (inception)
                                   1996      1997         to Dec. 31,
                                                             1996
                                   ---------------     ---------------
                                    (unaudited)          (unaudited)
Revenues:
  Development contracts and
    related grants                 $3,054    $  384          $16,313
  Grants                              --         12            6,168
      Total revenues                3,054       396           22,481

Costs and Expenses:
  Direct development contract and
    related grant costs             2,771       869           19,187
  Direct grant costs                  --         28            4,760
  Research and development            384       256            9,043
  Selling, general and administrative,
    including reimbursable expenses   555       794           14,581
      Total Costs and Expenses      3,710     1,947           47,571

Operating Loss                       (656)   (1,551)         (25,090)

Interest Income                        36        67              633
Interest Expense                       --      (117)            (328)

Loss before extraordinary item     $ (620) $ (1,601)       $ (24,785)

Extraordinary loss from
 extinguishment of indebtedness        --      (340)            (340)

Net loss                           $ (620)  $(1,941)       $ (25,125)

Net loss per share before
 extraordinary item                $(0.15)  $ (0.25)

Net Loss Per Share                 $(0.15)  $ (0.30)

Weighted Average Number
  of Shares Outstanding             4,050     6,488


                          Condensed Balance Sheet
                     (in thousands, except share data)


                                         Dec. 31,         March 31,
                                           1996             1997
                                                         (unaudited)

      ASSETS

Current assets:
 Cash and cash equivalents               $ 203            $ 11,741
 Accounts receivable less allowance
  of $80                                 1,188               1,809
 Unbilled revenue                        1,157                 242
 Inventories, primarily raw materials       20                  20
 Prepaid expenses and other assets         744                 215
   Total current assets                  3,312              14,027

Property and Equipment, net                610                 543

   Total assets                        $ 3,922            $ 14,570


      LIABILITIES AND SHAREHOLDERS' EQUITY

Current liabilitie:
 Accounts payable                      $ 1,567            $    509
 Deferred revenue                          154                 239
 Accrued liabilities                       519                 618
 Note payable to shareholder               200                  --
 Bridge notes and debentures payable     3,000                  --
 Bank loan payable                       1,187                  --
    Total current liabilities            6,627               1,366

Long term portion of lease liability        43                  39

Shareholders' equity:
 Preferred stock, no par value;
 5,000,000 shares authorized,
 none issued and outstanding
Common stock:
 Class A-no par value; 40,000,000
  shares authorized, 9,542,500, and
  4,069,000 issued and outstanding
  at March 31, 1997 and Dec. 31,
  1996 respectively (An additional
  3,000,000 shares held in escrow)      17,321              28,408
 Class B-no par value; 3,000,000
  shares authorized, none issued
  and outstanding
 Class A warrants                           --               6,767
 Contributed capital                     3,115               3,115
 Deficit accumulated during
  development stage                    (23,184)            (25,125)
    Total shareholders' equity          (2,748)             13,165
    Total liabilities and
     shareholders' equity              $ 3,922            $ 14,570

CONTACT: Amerigon Inc.

Lon Bell, 818/932-2080

or

Fleishman-Hillard

Peter Stack/Bob Cavosi, 212/265-9150