Lithium Ion Batteries are a mega trend in the material handling industry. Li-Ion batteries provide many advantages: More power, extreme short charging times and maintenance free operation. How does EP Equipment ensure safety and a long lifetime for their Lithium Ion Batteries? EP Equipment li-ion batteries are produced in our own factory and equipped with our own in-house developed BMS – Battery Management System to ensure the longest life time of the battery and safe operation. In this article we will explain the importance of a BMS for the Battery and Truck:

An important part of the lithium-ion technology is the battery management system. Why?

The task of the BMS is monitoring the condition of the battery and controlling input- and output currency with the truck and charger.

We all heard stories about li-ion batteries catching fire. The cause is overheating, mostly while charging. A good charger is not enough to prevent this. The BMS communicates with the battery, with the truck and with the charger and continuously monitors the temperature. The BMS kicks in when the temperature is out of range.

The lifetime of a li-ion battery strongly depends on its operating conditions. Too hot or too cold reduces the life time of the battery. The BMS therefore prevents the battery from overheating during usage. And the BMS does more: Charging is optimized and charging and discharging cycles are stored in its memory. To use the full potential of li-ion technology,

EP Equipment designs its trucks around the possibilities of the batteries. According to the company design philosophy of simple, compact and efficient trucks. The EPT 12EZ is last year’s most bought li-ion truck in the world. The in-house development and production of our trucks, batteries and battery controllers, ensures a reliable and consistent quality and a safe and efficient operation.

When looking for a new, Li-Ion electric pallet truck, always make sure you ask for the BMS system. And if you want to be on the safe side, buy an EP Equipment Lithium Ion pallet truck!

• KION Group to acquire a minority stake in a leading Chinese manufacturer to extend its offering in the fast-growing market for entry-level warehouse equipment
• The exclusive strategic partnership will focus on joint product development and supply chain synergies, with the aim of capitalizing on growth in the global market
• KION Group CEO Gordon Riske: “The cooperation with EP Equipment will further strengthen our position in the booming warehouse equipment market.”
• EP Equipment Chairman He Jinhui: “Our partnership will allow us to leverage each other’s strengths to capitalize on market opportunities in China and around the world.”

Frankfurt/Anji, January 18, 2018 – The KION Group is entering into an exclusive global strategic partnership with leading Chinese manufacturer EP Equipment in the fast-growing market for entry-level, light-duty warehouse equipment. On Thursday, the KION Group signed an agreement in Anji, China, to acquire a minority stake in EP Equipment. The cooperation will extend KION’s product offering in the segment for entry-level, light-duty warehouse equipment both in China and around the world. The partnership will focus on joint product development and supply chain synergies and is expected to make both parties more competitive in terms of their product offerings. The transaction is subject to the usual closing conditions and regulatory approvals and is expected to be completed in the course of 2018.

“We are delighted to enter into this strategic partnership with EP Equipment. It will allow us to extend our product offering to a much wider range of customers,” said KION Group CEO, Gordon Riske, at the signing of the agreement. “The cooperation will further strengthen our position in the booming warehouse equipment market.”

“EP Equipment has been growing steadily in China and globally, especially in the entry-level warehouse segment, driven by its strong customer focus and its innovative and competitive product range,” said Quek Ching Pong, member of the KION Group Executive Board and Chief Asia Pacific Officer. “By entering into this partnership with EP Equipment, KION will further strengthen its position as a leading provider of electric-powered material handling equipment.”

“This is a historic moment for EP Equipment,” said He Jinhui, Chairman of EP Equipment. “I am looking forward to our new partnership with the KION Group, which will allow us to leverage each other’s strengths and capitalize on market opportunities in China and around the world.” He Jinhui founded EP Equipment in 1999. The company employs more than 1,000 people around the world and is particularly prominent in the Chinese and US markets. In 2017, EP Equipment shipped over 50,000 units, more than ever before. The Chinese market is the largest and most important for industrial trucks and expanded by 40 percent in the first nine months of 2017. Warehouse trucks were a major factor in this growth, with entry-level, light-duty trucks playing a particularly important role within this segment. This is driven by the trend for greater mechanization and upgrading of equipment.

The KION Group

The KION Group is a global leader in industrial trucks, related services and supply chain solutions. Across more than 100 countries worldwide, the KION Group designs, builds and supports logistics solutions that optimize material and information flow within factories, warehouses and distribution centers. The Group is the largest manufacturer of industrial trucks in Europe, the second-largest producer of forklifts globally and a leading provider of warehouse automation. The KION Group’s world-renowned brands are clear industry leaders. Dematic, the newest addition to the KION Group, is a global leader in automated material handling, providing a comprehensive range of intelligent supply chain and automation solutions. The Linde and STILL brands serve the premium industrial truck segment. Baoli focuses on industrial trucks in the economy segment. Among KION’s regional industrial truck brand companies, Fenwick is the largest supplier of material handling products in France, while OM STILL is a market leader in Italy, and OM Voltas is a leading provider of industrial trucks in India. With an installed base of more than 1.2 million industrial trucks and over 6,000 installed systems, the KION Group’s customer base includes companies in all industries and of all sizes on six continents. The Group has more than 30,000 employees and is expecting to generate revenue of between €7.4 billion and €7.7 billion in the 2017 financial year.

EP Equipment

EP Equipment, headquartered in Anji, China, is a leading industry manufacturer with production facilities in China and in the USA, as well as subsidiaries in the USA, Europe, and Thailand. Founded in 1999, the company now employs over 1,000 team members worldwide and manufactures a full range of industrial trucks with a focus on electric warehouse equipment. The products are supported by a worldwide dealer network that serves both international key accounts and local customers.

In 2009, EP Equipment purchased a majority interest in Big Joe Forklifts, a US based manufacturer of warehouse equipment with deep expertise in quality manufacturing, after-market support and product customization. In the past years, EP expanded its product line to include entry level stackers, tuggers and order pickers. Innovation remains the signature strength of the company which, coupled with exemplary aftermarket support and world class customer service, has enabled the company to achieve 50,000 annual units sold in 2017 and at least 20 percent growth each year for the past eight years.

Disclaimer

This document and the information contained herein are for information purposes only and do not constitute a prospectus or an offer to sell or a solicitation of an offer to buy any securities in the United States or in any other jurisdiction. This release contains forward-looking statements that are subject to various risks and uncertainties. Future results could differ materially from those described in these forward-looking statements due to certain factors, e.g. changes in business, economic and competitive conditions, regulatory reforms, results of technical studies, foreign exchange rate fluctuations, uncertainties in litigation or investigative proceedings, and the availability of financing. We do not undertake any responsibility to update the forward-looking statements in this release.

Further information for the media

KION Group

Michael Hauger

Senior Vice President Corporate Communications

Tel: +49 (0)69 201 107 655

Mobile: +49 (0)151 1686 5550

Frank Brandmaier

Senior Director Corporate Media Relations

Tel: +49 (0)69 201 107 752

EP Equipment

Sang Tian

Vice President

Tel: +86 (0)571 2803 5676

/ep-components

Further information for investors

Dr Karoline Jung-Senssfelder

Vice President, Head of Investor Relations and M&A

Tel: +49 (0)69 201 107 450

Have you heard of the Black Friday equivalent in China called 11.11? It is the number one day for online sales in China and EP Equipment just broke its own record from last year.

Starting the day with a bike race in our hometown of Anji, a beautiful region of bamboo forests and celebrating the day of 11.11 together with 400 partners from all over China representing our dealers, customers and partners, we welcomed our friends in our factory and continued the day discussing new products, visions and trends in the industry.

During the ceremony our Ecommerce Division – iMow Industry started a 25 hours sales marathon with special opportunities for our customers throughout China.

After the success of our 2016 campaign, it was a tough challenge to increase our 11.11 sales once again, but the numbers speak for themselves: EP Equipment sold a record of 5.478 trucks in one day with a revenue of near 14 Million USD.

Presenting a revolutionary Counterbalance truck

At EP Equipment we believe that revolutionary products can change the market and in the past years we proved our vision with our EPT 20-15ET, the worldwide most selling electric pallet truck.

On this years 11.11. ceremony we introduced the L1, a revolutionary Counterbalance truck that has the potential to change the

market once again. By using state of the art Lithium Ion technology, EP Equipment was able to change the design process completely, setting a new level of ergonomics in the driver cabin.

And again, the numbers speak for themselves: On introduction day, EP Equipment signed orders of near 500 units on the

celebration ceremony alone. We are looking forward to see the L1 succeed within China and the world market.

EP Equipment introducing more revolutionary Li-Ion Products in 2018

Within the next 12 month EP Equipment has several products lined up for release that have the potential to change the industry once again with a radical change in concept and design around the Lithium Ion Battery. Stay tuned to find out more.

New sales and production record in 2017

The year 2017 will be another mile stone in the history of EP Equipment. Outperforming our already ambitious target, we expect to break the magic line of 50.000 units both in production and sales.

EP and iMow truly appreciate all of our partners’ support for the successful gathering this year. We are looking forward to see you all again very soon to celebrate the next mile stones as EP Equipment will continue its journey.