A123 to Supply Battery Packs to BAE Systems

A123 Systems, a developer and manufacturer of advanced nanophosphate lithium-ion phosphate batteries and systems, said it signed a deal BAE Systems to supply a new type of lithium-ion battery packs to BAE Systems to power city transit buses across the globe.

Under the terms of the new agreement, A123 will supply lithium ion-battery packs based on the company's prismatic cells to BAE for its HybriDrive Series propulsion system.

The new design is initially expected to be deployed on city transit busses, and as part of the new agreement, A123 will also supply lithium-ion battery packs for additional versions of BAE's HybriDrive system for other commercial applications.

A123's battery packs are currently deployed in BAE HybriDrive systems on nearly 3,000 buses globally that have amassed more than 300 million service miles to date. The current HybriDrive system utilizes battery packs based on A123's cylindrical cells, but under the new agreement, A123 will deliver packs featuring the company's prismatic cells to satisfy BAE's requirements for a more compact and economical solution.

The agreement also formalizes the terms of a previously announced customer warranty campaign through which A123 and BAE Systems are sharing in a program to retrofit and upgrade battery packs on hybrid busses in the field.