Ener1

ENER1, Inc. (Nasdaq: HEV) today announced that it has agreed to sell $55 million of senior unsecured notes, together with shares of common stock and warrants, to certain investment funds, led by funds managed by Goldman Sachs Asset Management, L.P. In addition, the company also announced the sale of $10 million in senior convertible notes to strategic partner ITOCHU Corporation. This follows a $65 million investment from principal shareholder Ener1 Group in June of this year, and a $20 million investment from ITOCHU Corporation in December, 2009.

Announces Two New Customers: Hyundai Heavy and Toro

Ener1, Inc. (Nasdaq: HEV), a leading American manufacturer of large-format lithium-ion battery systems for automotive and utility grid energy storage applications, has appointed Bruce Curtis, former Vice President of Program Development at First Solar, Inc. (Nasdaq: FSLR), global President of the New York-based company's grid storage business.

Battery Storage on Grid Expected to Play Vital Role in Urgent Multi-Billion-Dollar Overhaul of World's Most Expansive Electricity System

American lithium-ion battery manufacturer Ener1, Inc. (Nasdaq: HEV) signed a memorandum of understanding (MOU) today with Russia's Federal Grid Company (MICEX: FEES) to help develop new opportunities to use high-performance battery systems to improve the reliability and performance of the Russian electricity system, which is facing record setting demand on an aging grid.

US Lithium-ion Battery Executive Charles Gassenheimer in Round Table Discussion with Russian Energy Minister and Top Utility Technology Leaders

Charles Gassenheimer, CEO of US lithium-ion battery maker Ener1, Inc. (Nasdaq: HEV) will be participating tomorrow in a high-level roundtable featuring Russian Energy Minister Sergei Shmatko and other top figures in Russia's electric utility sector (the fourth largest in the world), along with Western business leaders from General Electric, ABB and Cambridge Energy Research Associates.

Proceeds will Fund Investment Program for 2010

Ener1, Inc. (Nasdaq: HEV), a global manufacturer of large-format lithium-ion battery systems for automotive and utility grid applications, today announced that it has executed an agreement with its principal shareholder, Ener1 Group, for the purchase of common stock and warrants for $65 million. The investment, which is expected to close later this week, is subject to customary closing conditions.

Companies to Co-Produce Cells and Packs for Existing Customer Base in China

ENER1, Inc. (Nasdaq: HEV), today announced financial results for its first quarter ended March 31, 2010. Net sales were $11 million in the first quarter of 2010 compared to net sales of $8.2 million in the prior year first quarter. Net loss was $15.3 million in the first quarter of 2010 compared to $7.3 million in the 2009 first quarter. Basic and diluted net loss per share were $.12 and $.13 in the first quarter of 2010 compared to $.06 and $.08 in the first quarter of 2009.

Q4 2009 revenue $11.0 million, Year-end 2009 revenue $34.8 million

• Individual grants of up to €45,000 available for Amsterdam businesses to purchase an Electric Vehicle (EV)
• Up to €250,000 available to fleet buyers requiring 20 vehicles or more
• Subsidy to cover 50% of additional costs of buying an EV over Internal Combustion Engine (ICE) vehicle