Green Automotive Company Restructures Its Electric Vehicle Business

And realigns its operations to focus on its Californian business

As part of the company’s plan to focus on its major growth opportunities led by Newport Coachworks, Green Automotive Company (OTCQB: GACR) announced today that it will sell the assets of its GoinGreen and LEC2 businesses to former GoinGreen staff members, led by Clive Southwell, former director of the UK business. At the same time, it will transfer the majority of the knowledge in its electric vehicle technology centre, known as Liberty E-Tech, to a new facility to be opened in Riverside, California, where its main manufacturing business is located. As a consequence, the company will cease its electric vehicle retailing, engineering, development and support operations in the UK. The re-organisation of the UK business will take place as a Creditors Voluntary Liquidation under the U.K.’s Insolvency Act of 1986, Section 98. As a result, all liabilities in the companies will be eliminated, including an outstanding tax payable of $622,697, outstanding trade payables of $689,481 and outstanding lease payments of $40,000.

GAC’s goal is to make Newport Coachworks the focus of the company’s efforts to create a successful and sustainable business whose key priorities are: the production of high quality diesel, gas and CNG shuttle buses; the development and launch of a profitable and environmentally friendly range of electric shuttle buses, and the development of EV technology catering to the commercial vehicle sector. This will enable us to exploit the tremendous opportunities that exist worldwide, as government incentives spur growth in EV development to encourage penetration within the overall light duty (LD) vehicle market. According to MarketResearchReports.com, industrial and commercial electric vehicles today represent 60% of the value of the electric vehicle market. Indeed, this sector is set to grow 4.2 times in the next decade. (http://www.redorbit.com/news/technology/1113174464/industrial-and-commercial-hybrid-and-pure-electric-vehicles-20142024-forecast/)

Ian Hobday, CEO of GAC: “We are reorganizing our global businesses to focus our support on Newport Coachworks, exiting those operations which require too much funding or have little short term opportunity for growth. Parallel with the creation of a new R&D center in Riverside CA, we will also be expanding our existing manufacturing facilities to cope with demand for our range of shuttle buses. The reality is that, most of our electric vehicle development is already taking place in California, one of the most dynamic regions in that field with a highly skilled workforce and reliable and innovative suppliers. GAC’s main focus in the near future is to strengthen its Newport Coachworks operation – this is where all our Know how and expertise has to be located. By bringing together R&D and production, GAC will make some important cost savings that should help our company to achieve its goal of building a profitable business.”

About Green Automotive Company visit www.thegreenautomotivecompany.com.

Forward Looking Statements - This release includes forward-looking statements. For a copy of the Company’s full statements regarding forward-looking statements, please click here Safe Harbor Statement Green Automotive Company.

Green Automotive CompanyPublic RelationsPetra Beitl, +447791601666petra.beitl@the-gac.com

Green Automotive (CE) (USOTC:GACR)
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