STARKVILLE, Miss., October 5, 2004 – SemiSouth Laboratories, Inc., a leading developer of silicon carbide diodes, transistors, and merchant epitaxy, announced today a new $2.67M Advanced Technology Program (ATP) Award from the National Institute of Standards and Technology.

The program’s focus is to develop and integrate advanced silicon carbide (SiC) power transistors and control circuitry within a compact power module for potential use in commercially available hybrid electric vehicles and future low-emission electric vehicles.  Dr. J.B. Casady, SemiSouth President & CTO remarked, “We are very excited to have secured the first ever ATP Award in the state of Mississippi.  With only 32 companies selected from 870 applicants, this award speaks directly to the abilities of our world-class staff of scientists and engineers.  This funding allows us to take a high-risk approach toward making revolutionary advancements in the area of high-density, robust power electronics for future hybrid electric and electric vehicles.”  Will Draper, SemiSouth Sales Engineer added, “The SiC Smart Power Chip will give automotive designers greater flexibility in configuring hybrid electric vehicle power management and distribution systems resulting in up to 10x reduction in overall size and weight of the system.  Commercialization of this technology will have broad economic impact for the American consumer through the availability of higher performance hybrid electric.”  The three year contract includes subcontractor Arkansas Power Electronics, Inc. and work is expected to begin immediately on the project.