Consolidated Power Battery: Update on Proposed Mergers: Alexander Technologies, Inc., Portable Energy Products, Inc.

OAK HARBOR, Wash.--(BUSINESS WIRE)--June 16, 1999--

Power Battery(VSE:PWB.) Consolidated Power Battery Corporation (the "Company") (VSE: PWB), today announced that Alexander Technologies, Inc. ("ATI"), a privately-held, $30 million per year battery pack manufacturer headquartered in Mason City, Iowa, is the Specialized Battery Company with which the Company has signed a Letter of Intent to Merge. This proposed merger was announced in the Company's March 11, 1999 press release. Larry Azure, Chairman and CEO of the Company, stated, "Alexander is a long standing company, highly respected for quality in this industry, whose management and competencies exactly fit and greatly strengthen our roll-up strategy. We are enthusiastic about joining forces with ATI to march forward with our strategy."

Portable Energy Products, Inc. Merger Update The Company is continuing to move toward the completion of the merger with Portable Energy Products, Inc. Shareholder meetings to vote on the transaction are now being planned for August 1999. In addition, the Company's accounting and administrative functions are being moved to Portable Energy Products' offices in Scotts Valley, CA.

The Company provides proprietary battery charging technology, specialty battery packs, and turnkey battery and charger solutions to original equipment manufacturers (OEMs) throughout the world, and is focused on a roll-up of the rapidly growing but fragmented specialty battery industry. The Company is headquartered in Oak Harbor, WA.

Alexander Technologies, Inc. assembles rechargeable battery packs and state-of-the-art charging systems, and is the only company in this industry with a proprietary systems approach to manufacturing. It supplies OEM's in the portable power industry, including manufacturers of portable computers, cellular phones, power tools, camcorders and digital cameras. ATI's 1998 sales revenues were U.S. $30 million.

Portable Energy Products designs, manufactures and markets small, proprietary, rechargeable batteries and battery packs to the OEM and consumer markets for powering PCs, CD players and a variety of other hand-held battery operated products, and for standby power backup of file servers and other computer systems. PEP is located in Scotts Valley, CA.

ON BEHALF OF THE BOARD OF DIRECTORS

OF CONSOLIDATED POWER BATTERY CORPORATION

Larry Azure, Chairman

Management of the Company, who take full responsibility for its contents, has prepared this news release. The Vancouver Stock Exchange neither approves nor disapproves of the contents of this news release.

This news release shall not constitute an (a) offer to sell or a solicitation of an offer to buy any securities of the Company, or (b) an offer to buy or a solicitation of an offer to sell any securities of any other company; such offers and sales will be made only by means of prospectus meeting the requirements of the United States Securities Act of 1933, as amended. In addition, no offer, solicitation or sale of securities of the Company or any other company shall be made in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction.

This news release includes forward-looking statements within the meaning of section 27a of the United States Securities Act of 1933, as amended, and section 21e of the United States Securities Exchange Act of 1934, as amended, with respect to the acquisition and financing transactions described herein. These statements are made under the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995 and involve risks and uncertainties that could cause actual results to differ materially from those in the forward-looking statements contained herein.