BTI Doubles First Quarter Revenue And Launches Game-Buddy Color.

TORONTO--(BUSINESS WIRE)--May 13, 1999--

Battery Technologies Inc., (TSE:BTI.) (OTC BB:BTIOF) today announced their financial results for the first quarter ended March 31, 1999.

The Company reported a loss of $0.01 per share ($525,000) for the first quarter of 1999, $0.02 less than the loss of $0.03 per share ($937,000) for the first quarter of 1998. Factors contributing to the improvement in the first quarter of 1999 included a 132 percent increase in revenues to $344,000 from $148,000 in the same quarter of 1998 and a reduction in operating expense by $216,000. The increase in revenue was a result of increases in royalties from the sale of RAM(tm) batteries by BTI's licensees to $222,000 in the first quarter of 1999, up 50 percent from the $148,000 in royalties in the first quarter of 1998, revenue in the first quarter of 1999 from contract research of $103,000 and net revenue of $19,000 from the sale of Game Buddy(tm) Power Pack, a RAM(tm) battery pack for use in Nintendo's GameBoy(r)Pocket.

"Revenues continue to increase and operating expenses are under control", said Bruce Pope, President and CEO of Battery Technologies Inc. "I am encouraged that our loss per share during the quarter has been reduced to $0.01 from $0.03 in the same quarter of 1998. Further, I am also pleased to report that during the first three months of this year, cash used in operations was only $41,000 compared to cash flow used in operations of $562,000 in the first three month of fiscal 1998. We expect these trends to continue and that BTI will complete fiscal 1999 cash-flow positive from financing and operating activities", added Mr. Pope.

The Company also announced today that it is launching Game Buddy(tm) Color at the ELECTRONIC ENTERTAINMENT EXPO ("E3 '99") in Los Angeles today. Game Buddy(tm) Color is a portable RAM(tm) battery pack for use in Nintendo's GameBoy(r) Color and will be available for sale on the Internet and at retail in August 1999.

"The launch of Game Buddy(tm) Color today follows the launch of Game Buddy(tm) Power Pack last Christmas", said Mr. Pope. " We now have two products to offer retailers, both of which provide performance and convenience benefits far superior to other products on the market", added Mr. Pope.

Battery Technologies Inc. is engaged in the worldwide commercialization of the RAM(tm) battery technology and other portable energy products. BTI's trademark for its own brand of RAM(tm) batteries is MultiCell(tm). The Company's RAM(tm) licensees and licensee trademarks include: Rayovac Corporation, RENEWAL(tm); Young Poong Corporation, ALCAVA(tm); Grand Battery Technologies, GRANDCELL and Pure Energy Battery Corporation, PURE ENERGY(tm). RAM(tm) battery products are available in AA, AAA, C and D sizes.

Other products sold or under development by the Company include Game Buddy(tm) Power Pack, a RAM(tm) battery pack for use in Nintendo's GameBoy(r)Pocket and Game Buddy(tm) Color, a RAM(tm) battery pack for use in Nintendo's GameBoy(r) Color. Game Buddy(tm) Power Pack is currently available for sale on the Internet at http://WWW.GAME-BUDDY.COM. Game Buddy(tm) Power Pack is also available for sale at the following retail stores: MEIJERS, BABBAGES, JOHNSON SMITH COMPANY, STAR CITY, TOMMO, GAMERS WORLD VIDEO GAMES, MICROPLAY VIDEO GAME STORES and GAMERAMA.

BTI's press releases are available through the Company's Internet Home Page: http://www.bti.ca -0-

          SUMMARIZED STATEMENT OF LOSS(in 000's CDN dollars)
              THREE MONTHS ENDED MARCH 31, 1999 AND 1998


                                  1999           1998
                                  ----           ----
Net revenue                       $344           $148
                                 -----          -----
Expenses
 Selling, general and
  administrative                   218            474
  Research and development         180            202
  Depreciation and amortization    155            168
  Interest and other expenses      316            241
                                 -----          -----
                                   869          1,085
                                 -----          -----
Loss for the period              ($525)         ($937)
                                 -----          -----
Loss per share                  ($0.01)        ($0.03)
                                 -----          -----

Except for the historical statements contained herein, the matters discussed in this news release, including any revenue, expense and earnings expectations, are forward looking statements that involve risks and uncertainties. Factors that could cause actual results to differ materially include but are not limited to: the Company's ability to attract licensees with the financial and other resources to develop markets for RAM batteries, the Company's ability to attract new capital, variable economic conditions, the Company's reliance upon a single production line equipment supplier, disruption of production at any of the Company's licensee's manufacturing facilities, political and other disruptive developments, foreign currency restrictions and/or fluctuations, technological developments by competitors, a successful challenge to the validity of the Company's patents, or any of the other variables referenced in the Company's 20-F filing with the SEC, dated July 14, 1998. Readers are cautioned not to place undue reliance on forward looking statements. BTI is not currently licensed to produce products for Nintendo of America Inc. GameBoy(r)Pocket is a trademark of Nintendo of America Inc.