Ballard Power Systems Appoints New Director.

Business Editors

VANCOUVER, British Columbia--(BUSINESS WIRE)--July 29, 2002

Ballard Power Systems (NASDAQ:BLDP) (TSX:BLD) announced today that Mrs. Denise Morrison has been appointed to Ballard's Board of Directors.

Mrs. Morrison is the Executive Vice President and General Manager, Snacks Division of Kraft Foods North America. Before joining Kraft Foods in 2000, Mrs. Morrison was General Manager, DTS & Sathers Division and Senior Vice President of Sales with Nabisco Foods Company from 1997 to 2000. Before she began her career with Nabisco Foods Company in 1995, Mrs. Morrison held various positions with Nestle USA, PepsiCo and Procter & Gamble.

Mrs. Morrison serves on the Operations Committee of Kraft Foods North America. Mrs. Morrison is also a Board member for the Food Industry Crusade Against Hunger, the Snack Food Association, the American Wholesale Marketers Association and the New Jersey Women's Forum. She holds Bachelor of Science, Economics and Psychology degrees from Boston College.

"The addition of Denise Morrison to our Board of Directors adds a dimension and experience in addressing consumer markets through retail distribution channels," said Firoz Rasul, Ballard's Chairman and Chief Executive Officer. "This capability complements the skills and experience that we have in our current Board of Directors."

Mrs. Morrison replaces Mr. Raymond Royer, a director since 1998, who has resigned effective July 26, 2002.

"Ballard has grown significantly over the past four years and during that time Raymond has been a key contributor to the Board of Directors," said Firoz Rasul, Ballard's Chairman and Chief Executive Officer. "We appreciate the added demands on his time as a result of the expansion of Domtar's business which Mr. Royer leads as Chief Executive Officer. We will miss Raymond's guidance, wisdom and counsel."

Mrs. Morrison's appointment follows the recent election of Charles Baillie, Chairman and Chief Executive Officer of Toronto Dominion Bank, and Ed Kilroy, President of IBM Canada as new directors, at Ballard's annual shareholders meeting in May, 2002.

Ballard Power Systems is recognized as the world leader in developing, manufacturing and marketing zero-emission proton exchange membrane fuel cells. Ballard is commercializing fuel cell engines for transportation applications and fuel cell systems for portable and stationary products ranging from 1 kilowatt to 250 kilowatts. Ballard is also commercializing electric drives for fuel cell and battery-powered electric vehicles, power conversion products for fuel cells and other distributed generation products, and is a Tier 1 automotive supplier of friction materials for power train components. Ballard's proprietary technology is enabling automobile, bus, electrical equipment, portable power and stationary product manufacturers to develop environmentally clean products for sale. Ballard is partnering with strong, world-leading companies, including DaimlerChrysler, Ford, EBARA, ALSTOM and FirstEnergy, to commercialize BALLARD(R) fuel cells. Ballard has supplied fuel cells to Honda, Nissan, Volkswagen, Yamaha, Cinergy, Coleman Powermate and Matsushita Electric Works, among others.

Ballard's Common shares are listed on The Toronto Stock Exchange under the trading symbol "BLD" and on the Nasdaq National Market System under the symbol "BLDP". Ballard, the Ballard logo and Power to Change the World are registered trademarks of Ballard Power Systems Inc.