Valence Technology to Announce Business Strategy

Business Wire, August 16, 2001

Business Editors

AUSTIN, Texas--(BUSINESS WIRE)--Aug. 16, 2001

Valence Technology Inc. (Nasdaq:VLNC), a leader in the development and commercialization of lithium-ion polymer rechargeable batteries, today announced it will broadcast its business strategy on Thursday, Aug. 23, 2001, at 5:00 p.m. EDT (2:00 p.m. PDT).

At that time, management will discuss the details of its business plan and first quarter 2002 results, as well as provide guidance on the company's future financial performance.

The broadcast will include a slide presentation hosted on the company's Investor Relations Web site located at www.valence.com. Participants should allow approximately 15 minutes prior to the call's start time to visit the site and download any streaming media software needed to listen to and view the Internet broadcast.

An online archive of the broadcast will be made available approximately four hours after the live call and will remain available for 30 days.

About Valence Technology Inc.

Valence is a leader in the design, manufacture and marketing of rechargeable lithium-ion polymer batteries. Valence has more than 790 issued and pending patents worldwide, including 284 issued in the United States.

Valence operates facilities in Henderson, Nev., and Mallusk, Northern Ireland. Valence is traded on the Nasdaq National Market under the symbol VLNC. Valence can be found on the Internet at http://www.valence.com.

Forward-Looking Statements

The information contained herein includes forward-looking statements that involve risks and uncertainties. These forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause the actual results, performance and achievement of Valence to be materially different from any future results, performance or achievement expressed or implied by these forward-looking statements. Factors that may cause actual results to differ from the forward-looking statements contained in this release and that may affect Valence's prospects in general include, but are not limited to, changes in general and industrywide economic and business conditions; the availability of capital to Valence on acceptable terms and in amounts necessary to provide for the working capital needs of Valence; Valence's ability to efficiently manufacture batteries in commercial quantities; Valence's ability to achieve profitability; the success of its product development programs; customer acceptance of its battery products; the success of its licensing strategy; Valence's reliance on a limited number of suppliers for critical component parts; actions of competitors and customers; and such other factors as are described in Valence's filings with the Securities and Exchange Commission.