Battery Tech. 4th Quarter Revenue Up Substantially Results In Line With Expectations.

Business Editors

TORONTO--(BUSINESS WIRE)--April 2, 2002

Battery Technologies Inc., (OTCBB:BTIOF.OB) (TSE:BTI) today announced its fourth quarter and year-end financial results and indicated that revenue in the fourth quarter increased three-fold as a result of continuing sales volume growth from its recently acquired business in Scandinavia, and generated a total year 2001 revenue increase of 119%.

The company reported sales for the fourth quarter ended December 31, 2001 of $855 versus $281 for the same period last year, an increase of 204%. The fourth quarter reflected on-going sales for the Toshiba line of batteries as well as sell-in of the re-launched demacell RAM(TM) brand. Earnings for the period showed a loss of $361 or $0.00 per share as a result of investment spending to grow sales and in support of on-going research spending to enhance the proprietary RAM(TM) technology. This compares with a loss of $456 or $0.01 per share last year. Year-end 2001 results showed a significant sales gain of 119% to $1,840 with an earnings improvement of $518 or 21% versus year ago, albeit showing a loss for the year of $0.02 or $1,918.

BTI's Balance Sheet continues to reflect the favorable impact of having eliminated corporate debt of in excess of $8 million in 2001 and shareholder equity is positive. All liabilities are current and bank loans now represent solely credit lines in Sweden to run the business.

J. Bruce Pope, President and CEO of BTI said: "We're pleased that the results of the fourth quarter continue to demonstrate the correctness of our strategy which has been to focus on generating sales and market penetration for our portfolio of brands, so as to earn margin and ultimately earnings. Progress in Scandinavia involves expanding distribution for our products and building a predictable and sustainable franchise. While it is early days for our European expansion, this marketplace continues well suited to growth for our portfolio. The Scandinavian business is growing and is about to include the recently announced planned expansion with the Landman Group of the Netherlands. We are progressively building a network from which we expect to develop a foundation for both our technology and a solid BTI."

On March 14, 2002 BTI announced that it had signed a letter of intent with the Landman Group of Zoetermeer, the Netherlands for an exclusive sales and distribution agreement for Landman to sell BTI's patented demacell RAM(TM) batteries and its Toshiba line in the Netherlands, and eliminate competing lines, such as Pansonic.

The following is preliminary summarized profit and loss data for the three and twelve month periods ending December 31, 2000 and 2001. The audited numbers are subject to final minor adjustments and it is expected that annual reports containing the full financial statements will be mailed to shareholders on or about April 15, 2002.

    SUMMARIZED STATEMENT OF PROFIT AND LOSS (in 000's CDN dollars)
       THREE AND TWELVE MONTHS ENDED DECEMBER 31, 2001 AND 2000
                              (UNAUDITED)

                           Three Months Ended   Twelve Months Ended
                              December 31           December 31
                              2001   2000           2001   2000
                           ----------------------------------------
Revenue                        855    281          1,840    840
                           ----------------------------------------
Expenses
  Cost of goods                298     52            542     52
  Selling, general
   and administrative          693    353          1,864  1,274
  Research and development     177     90            689    649
  Depreciation and
   amortization                 90     57            531    457
  Interest and other
   expenses                    (42)   185            132    896
                           ----------------------------------------
                             1,216    737          3,758  3,328
                           ----------------------------------------
Loss for the period            361    456          1,918  2,436
                           ----------------------------------------
Loss per share               $0.00  $0.01          $0.02  $0.04
                           ----------------------------------------

BTI is the inventor, developer and owner of the unique, patented rechargeable alkaline manganese (RAM(TM)) battery technology on which it holds 43 patents related to chemistry, product design and manufacturing processes. BTI is engaged in the worldwide commercialization of the RAM(TM) technology and other portable energy products through its licensees and the Dema Group, a wholly owned subsidiary based in Scandinavia engaged in the sales, marketing and distribution of battery and energy related products to European markets.

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 achieve its corporate objectives, uncertainty of additional funding requirements, variable economic and market conditions, 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 June 29, 2001. Readers are cautioned not to place undue reliance on forward looking statements. RAM(TM), is a registered trademark of Battery Technologies Inc., Richmond Hill, Ontario, Canada. All other brands, product names, company names or trademarks are the property of their respective owners.