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Technology Stocks : VALENCE TECHNOLOGY (VLNC)
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To: Matthew Leo who wrote (80)2/7/1997 6:02:00 PM
From: FMK   of 27311
 
Alliant/Valence LLC intends to equip the Pentagon's version of the electronic soldier. I just spoke with Alliant Tech. The power source will be a flexible adaptation of Valence's solid polymer battery worn as a vest. The vest will in turn provide power to such devices as laser range finders, night vision equipment, GPS system and various communication devices.

Also mentioned were plans for powering underwater vehicles and devices for the navy. It appears there are many other applications with the military and government. Unlike the arrangement for GM Delphi for which Valence is supplying expertise and help with R&D for a fixed amount, the arrangement with Alliant is a 50/50 joint venture. I read in the last annual report that a previous chief engineer with Alliant is now with Valence.

It just keeps getting better. Thanks to Gvander for helping us stay in perspective. There must be some competition. How many pilot plant arrangements exist, such as the one announced last week, that the Army or other government branch is funding for high tech batteries? Is Alliant/Valence ahead of the competion and likely to be awarded these contracts? If they are, I may need help counting soldiers, estimating profits etc. Any volunteers?

Thanks for your post re: Sony's estimate of world demand for portable device batteries. Regards
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