Investor Presentation
   November 2008
Example Presentation April 2008
   ZBB ENERGY CORPORATION
Forward Looking Statement
This presentation may contain “forward looking statements” which are made pursuant
to the safe h...
ZBB Snapshot
 To become the leader in large capacity energy storage solutions

Our energy storage solutions address issues...
ZBB Investment Considerations

                                     ZBB’s storage solution products offers efficient and
 ...
Alternative Energy Growth Projections
Increased attention and investment dollars will provide growth to alternative source...
Production versus Consumption
                    Significant “loss” of energy supports the requirement for efficiency thr...
Product Overview
ZESS (“Zinc Energy Storage System ”) – a large capacity regenerative fuel cell storage, plug and
play pro...
Storage Technology Comparisons
ZESS technology offers multi-hour energy storage with a clean, deep-discharge, energy
neutr...
Manufacturing Capabilities
 ZBB has a proven, cost-effective platform for the manufacturing of the ZESS units


 Increased...
Multiple Market Applications

    Electric Utilities                      Renewable Energy                                ...
Current and Potential Projects
Ramping sales and marketing efforts resulting in multitude of potential projects




      ...
Client Case Study: Solar Project - LifeVillage                                          TM




ZBB is a partner with Envis...
Client Case Study: Eaton Corporation
ZBB and Eaton Corporation collaborate for advances in product, sales and marketing,
s...
Company Milestones
   Over 20 patents held and patent applications filed               More than $60 million invested to d...
Energy Storage Valuation vs. Solar and Wind
Energy storage today represents only a fraction of the aggregate valuations of...
Valuation vs. Peer Group
ZBB Energy
Trading Statistics of Comparable Companies


(In $ millions, except per share data)   ...
Positioning during Economic Downturn

       Balanced approach to be both fiscally conservative and
       opportunistic d...
Strong Management Team
                                     • 25 years experience in large capacity storage industry
 Robe...
Board of Directors
                           • Energy Advisor to Governor of California
                           • Chai...
Financial Data
                                                   Summary of Capitalization

AMEX: ZBB                    ...
ZBB - The Energy Storage Leader
“ZBB is a transition stage manufacturer of zinc bromide flow batteries and the
clear leade...
Thank You
Example Presentation April 2008
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ZBB Energy Corporation Presentation November 2008 Compressed

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ZBB Energy Corporation Presentation November 2008 Compressed

  1. 1. Investor Presentation November 2008 Example Presentation April 2008 ZBB ENERGY CORPORATION
  2. 2. Forward Looking Statement This presentation may contain “forward looking statements” which are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. In some cases you can identify those so-called forward looking statements by words such as may, will, should, expects, plans, targets, anticipates, believes, estimates, predicts, potential, or continue, or the negative of those words and other comparable words. These forward looking statements are subject to risks and uncertainties, product tests, commercialization risks, availability of financing, and results of financing efforts, that could cause actual results to differ materially from historical results or those anticipated. Further information regarding these and other risks is detailed from time to time in the Company’s filings with the Securities and Exchange Commission. We assume no obligation to update or alter our forward looking statements in this presentation or in any periodic report, whether as a result of new information, future events, or otherwise, except as otherwise required by applicable federal securities laws. ZBB ENERGY CORPORATION ZBB
  3. 3. ZBB Snapshot To become the leader in large capacity energy storage solutions Our energy storage solutions address issues related to grid stability and renewable energy intermittency. o Distributed storage of electrical energy during off peak periods. Re-supply on high demand providing grid reliability and economic benefits. o Smoothing / shifting intermittent renewable energy generation. Controlled generation, grid stability and optimal use o Enabling energy independence and RAPS o Green back up power and power quality. ZBB ‘s technology fits hand-in-hand with alternative energy growth and deployment. ZBB ENERGY CORPORATION ZBB
  4. 4. ZBB Investment Considerations ZBB’s storage solution products offers efficient and Superior Technology 1 cost-effective technology that addresses key constraint and consistency issues Ramping sales and marketing effort resulting in Growing Sales Pipeline 2 multitude of potential projects Products address alternative energy intermittency and Alternative Energy Focus 3 efficiency issues. Company has 20+ patents that protect all aspects of Intellectual Property 4 the product and technology With approximately $8.0 million in cash and no debt, Solid Financial Position 5 ZBB’s balance sheet is funded for growth ZBB ENERGY CORPORATION ZBB
  5. 5. Alternative Energy Growth Projections Increased attention and investment dollars will provide growth to alternative sources of power Drivers of Growth •GHG Emissions 6.4 Renewables* 34% 2365 22% •MRET’s 7.3 Nuclear •Energy Independence 24% 925 19% 1024 3.3 •Energy Security 367 1352 3.9 Natural Gas 2.6 •Archaic T&D Infrastructure 1179 3.5 2095 11.6 Coal Factors to consider 1400 7.3 383 313 Oil •Oil & gas price volatility 1.0 0.7 2006 2030 2006 2030 •Social Awareness Capacity Output (Gigawatts) (Gigawatt-Hours) •Utilities - Tax credits *Includes hydroelectric, solar, wind, geothermal, biomass ZBB ENERGY CORPORATION ZBB
  6. 6. Production versus Consumption Significant “loss” of energy supports the requirement for efficiency through energy storage capabilities. Total Production Versus Consumption 0.004 of Alternative Energy Resources 0.003 kWh per year 0.002 0.001 0 Energy from Utility 2006 2010 2015 2020 2025 2030 Hydropower Biomass Other Renewable Energy Consumption Source: Energy Information Administration / Annual Energy Outlook 2008 ZBB ENERGY CORPORATION ZBB
  7. 7. Product Overview ZESS (“Zinc Energy Storage System ”) – a large capacity regenerative fuel cell storage, plug and play product Modular systems of 50kWh or 500kWh built from 50kWh modules Flow-based system with electrolyte stored in external tanks Deep discharge 20 + years product life Easily transportable Standard Module ZESS 50 Operates quietly at ambient temperature Environmentally friendly Winner of the Frost & Sullivan Large Capacity Electricity Storage Innovation Award ZESS 500 ZBB ENERGY CORPORATION ZBB
  8. 8. Storage Technology Comparisons ZESS technology offers multi-hour energy storage with a clean, deep-discharge, energy neutral, compartmentalized system Zinc-Bromide Regenerative fuel cell battery using an electrolyte system. During charge, metallic zinc is plated from the electrolyte solution onto the negative electrode surfaces in the cell stacks. During discharge the metallic zinc dissolves in the electrolyte and is able to be plated again. Capable of full discharge (100% of stored energy) without damage. • Improved energy density Sodium Sulfur (NaS) Consists of molten liquid sulphur at the positive electrode and molten liquid sodium at the negative electrode, separated by a solid beta alumina ceramic • Deep discharge electrolyte. Kept at high temperatures above 300o C to allow the process to occur. It is used for power quality and peak shaving applications. It has also demonstrated more than 20 MW, with stored energy suitable for eight hours of • Superior cycle life daily peak shaving with 89% efficiency. Flow battery that stores energy by employing vanadium redox couples and is • Wider operating temperature range Vanadium Redox (VRB) stored in sulphuric acid solutions. Storage of up to 500 kW for 10 hours, or 5 MWh. Net efficiency is about 70%, and is heavy and large-scaled. It has been • Modularity installed by Sumitomo Electric in Japan and by Vantek in South Africa. Pumped Hydro Storage Widely used but characterized by long construction times and high capital • Low Maintenance expenditures. Used for water reservoirs. Water is pumped from a lower reservoir to an upper reservoir during off peak times, and then reversed to generate electricity. • Reliability CAES A peaking gas turbine power plant using compressed air stored in underground caverns inside salt rocks. • Cost Lead Acid Suitability for energy management is very limited in applications that require deep discharge, long life cycle and longer term energy storage. The base components (lead and sulfuric acid) are neither desirable to handle and recycle or to have installed in a facility without more extensive infrastructure and precautions. ZBB ENERGY CORPORATION ZBB
  9. 9. Manufacturing Capabilities ZBB has a proven, cost-effective platform for the manufacturing of the ZESS units Increased production capacity: 8MWh 12/2007 30MWh 12/2008 48MWh 12/2009 Milwaukee, WI 72MWh 12/2010 Headquarters and manufacturing Company owned 75,000sq ft headquarters facilities and manufacturing facility Manufacturing capacity currently expanding to 50 x ZESS 50 modules per month Perth, Australia 32 full time employees in corporate and Research & manufacturing operations Development 7 full-time engineers located in Perth R&D operations ZBB ENERGY CORPORATION ZBB
  10. 10. Multiple Market Applications Electric Utilities Renewable Energy Industrial Implement peak shaving Store and re-supply generated Implement smart metering to Manage cost efficiency power during high-demand use grid-power when cost periods efficient to do so Reduce grid vulnerability Smooth power delivery from Reduce CO2 emission Reduce capital infrastructure the generator to the grid costs Source: BCC Research Source: Electricity Storage Association Source: Electricity Storage Association ZBB ENERGY CORPORATION ZBB
  11. 11. Current and Potential Projects Ramping sales and marketing efforts resulting in multitude of potential projects Synergy Power Corporation Zest Energy Electric Utilities Renewable Energy Commercial / Industrial North America – 32.8MWh North America – 94.55MWh North America – 28.6MWh Europe – 2.05MWh Europe - .5MWh Europe – Nil Australia – 1 MWh Australia – 2.0MWh Australia – Nil Africa – Nil Africa – 18.6MWh Africa - Nil 35.85MWh 115.65MWh 28.6MWh ZBB ENERGY CORPORATION ZBB
  12. 12. Client Case Study: Solar Project - LifeVillage TM ZBB is a partner with Envision Solar as part of a renewable energy initiative by Envision Solar, to provide a reliable source of electricity for remote locations with a complete, modularized solution ∙ 32 kW Photovoltaic System ∙ ZESS 50 storage system ∙ Water pump and purification system ∙ Six modular buildings totaling 3,000 square feet (279 square meters) of sheltered floor area which can be configured to meet a variety of needs ZBB ENERGY CORPORATION ZBB
  13. 13. Client Case Study: Eaton Corporation ZBB and Eaton Corporation collaborate for advances in product, sales and marketing, services and facilities . Renewable energy and product development WEIF Grant (co-share $229k grant from the State of Wisconsin to develop power conversion and energy storage system that will be compatible with both grid and solar power) ZESS 50 (3) System design and deployment Sales and marketing with new and existing lines Solar and wind energy market Commercial and industrial Utility Eaton EESS Studies through turn-key Energy Storage solutions Facilities Eaton Corporation – Nationwide offices ZBB Energy – Wisconsin only ZBB ENERGY CORPORATION ZBB
  14. 14. Company Milestones Over 20 patents held and patent applications filed More than $60 million invested to date. After start up Completed all Hosts Energy Contract with Distribution Forum with period, acquired additional R&D FutureHouse Agreement Governor Johnson and beta USA to provide with New Age Richardson & Controls zinc testing. ZESS 50 Energy, Inc & Governor Doyle bromine technology. ZEST Energy to discuss Pty, Ltd alternative energy solutions 1994 1998 2004 2007 2008 Provides Energy Co-Share State of Formed ZBB Raised $20 Storage for Wisconsin Clean Energy and million via Solar Power Energy Fund moved IPO in June Project with Grant with Eaton Headquarters to 2007. Envision Solar Corporation U.S. ZBB ENERGY CORPORATION ZBB
  15. 15. Energy Storage Valuation vs. Solar and Wind Energy storage today represents only a fraction of the aggregate valuations of solar and wind public companies. Market has not connected the interplay of storage and alternative energy, providing potential for significant upside. Aggregate Market Capitalization ENERGY ZBB, VLNC, $27.0 b STORAGE AXPW.OB, ALTI, BCON, HEV, XIDE, HPJ, ENS, ABAT, CBAK, CHP, ULBI, MXWL WIND RPW, BWEN, CWP, BBW, WNEA, GES, HSN, NDX EXCLUDES: GE, SIE, VWS SOLAR SPWRA, ESLR, ENER, $7.0 b FSLR, STP, WFR, JASO, LDK, CSIQ $2.8 b Energy Wind Solar Storage ZBB ENERGY CORPORATION ZBB
  16. 16. Valuation vs. Peer Group ZBB Energy Trading Statistics of Comparable Companies (In $ millions, except per share data) Stock Revenue Enterprise Value / Price / Price 52 Week % of 52 Market Enterprise Growth Revenues Book Value Company (a) Ticker 10/15/08 High Low Week High Cap (b) Value (c) Rate 2Yr LTM 2008E 2009E Q2 CY08 VRB Power Systems Inc. VRB $ 0.03 $ 0.34 $ 0.03 8.8% $ 4.9 $ 0.9 128.1% 2.3x 1.2x 0.0x 0.6x Axion Power International Inc. AXPW $ 1.05 2.74 1.01 38.3% 27.7 27.6 88.9% 43.9x NA NA 1.6x Cougar Energy Limited CXY $ 0.08 0.26 0.04 31.2% 42.0 32.9 53.6% 215.0x NA NA 2.5x Plug Power Inc. PLUG $ 0.93 4.75 0.64 19.6% 82.0 (45.9) 25.0% NM NM -2.1x 0.6x Capstone Turbine Corp. CPST $ 1.25 4.42 0.94 28.3% 190.1 157.5 11.2% 4.7x NA NA 3.8x ABAT Advanced Battery Technologies Inc. $ 2.50 7.65 2.40 32.7% 131.4 110.4 112.0% 2.7x NA NA 2.6x SatCon Technology Corp. SATC $ 1.72 3.51 1.15 49.0% 87.7 97.7 33.6% 1.4x 1.5x 1.0x 9.4x Ballard Power Systems Inc. BLDP $ 2.43 5.94 1.94 40.9% 246.0 198.8 22.2% 3.0x 3.0x 2.3x 2.3x EnerSys ENS $ 12.62 37.71 11.45 33.5% 626.6 1,029.2 27.9% 0.5x 0.5x 0.4x 2.1x Energy Conversion Devices, Inc. ENER $ 37.78 83.33 20.47 45.3% 1,725.3 1,564.5 58.1% 6.1x 4.4x 2.6x 2.4x Hong Kong Highpower Technology, HPJInc. $ 3.03 8.35 1.68 36.3% 41.1 54.9 0.0% 0.7x NA NA 3.0x Exide Technologies XIDE $ 4.67 19.66 4.00 23.8% 351.7 951.5 17.4% 0.2x 0.2x 0.3x 1.0x ZBB Energy Corporation ZBB $ 1.88 4.54 1.35 41.4% 19.8 13.4 53.9% 10.4x NA NA 1.75x Discount to Mean 5.2% 203.1% 51% Discount to Adjusted Mean 5.2% -12.0% 51.3% Mean 33.6% 48.2% 31.7x 15.1x 1.2x 2.7x Median 34.9% 30.7% 2.7x 1.3x 0.6x 2.3x Adjusted Mean (d) 33.6% 48.2% 9.2x 1.8x 0.7x 2.65x High 49.0% 128.1% 44.0x 4.4x 5.7x 9.4x Low 8.8% 0.0% 0.2x 0.2x -2.1x 0.6x Source: Company filings and Capital IQ. Note: Forecasted valuation ratios are based on calendar year figures. NA: Not Available; NM: Not Meaningful. (a) Data represent consolidated financial information and exclude non-recurring charges. (b) Diluted equity value using the treasury stock method based on options outstanding. (c) Represents Equity Value plus Total Debt, Total Preferred and Minority Interest less Cash and Investments in Unconsolidated Affiliates. (d) Adjusted Mean excludes data for LTM EV/REV for CXY, ENS, HPJ and XIDE due to outlying multiples ZBB ENERGY CORPORATION ZBB
  17. 17. Positioning during Economic Downturn Balanced approach to be both fiscally conservative and opportunistic during this time of economic uncertainty. • Extension of the alternative energy tax credits will stimulate many of our markets, including major utilities; • Situational analysis of all aspects of business processes; • Zero-based budget processes have been implemented; • Marketing budget is mostly commissioned-upside • Review of staff and salaries undertaken in past months • Constant bank review where cash is managed ZBB ENERGY CORPORATION ZBB
  18. 18. Strong Management Team • 25 years experience in large capacity storage industry Robert Parry • Held management positions with ZBB since its founding in 1982 • International experience in corporate management, finance, technology and Chief Executive Officer acquisitions • CPA, Australia • VP, International Sales & Operations, of Cooper Power Systems responsible for four Steven Seeker international plants and a network of sales representatives and employees in over 75 countries for over 31 years Chief Operating Officer • Award winner from 2006 Astin-Polk International Standards Medal Scott Scampini • Price Waterhouse and BDO Siedman partners • 13 years CFO and Executive Vice President of MGS Manufacturing Group Chief Financial Officer • CPA • Senior member of management team with ABB, a multi-billion dollar company Kevin Dennis with worldwide operations VP Marketing & Sales • Extensive marketing, sales and engineering expertise in utility and renewable energy markets worldwide Peter Lex, Senior Chemical Engineer Michael Hughes, Senior Electrical Engineer Bjorn Jonshagen, Senior R&D Engineer Note: 40+ employees in USA and Australia ZBB ENERGY CORPORATION ZBB
  19. 19. Board of Directors • Energy Advisor to Governor of California • Chairman of Intekea William Mundell • Former - Chairman and CEO of Vidyah Corp and former Chairman of Trade, Inc • Former CEO of WEFA Chairman & Director • Honorary professor at Tsinghau University in China and graduate of Carlton University in Canada and Columbia University (MBA in Finance and Masters in International Economics and Public Finance) Manfred Brinbaum • Former Executive of English Electric Corp. (wholly owned sub of GE of England) • 26 year Senior Officer of Westinghouse Electric Corp. Director • Management Consultant Richard Payne • 26 years experience in corporate and commercial law • Director Agri Energy Ltd Director • Director Broome International Airport group of companies • 25 years experience in large capacity storage industry Robert Parry • Held management positions with ZBB since its founding in 1982 Chief Executive Officer • International experience in corporate management, finance, technology and acquisitions • CPA, Australia Marc Marotta • Partner Foley & Lardner LLP • Former Secretary of the Dept of Admin - State of Wisconsin. Boards including; State of Wisconsin Special Counsel to Board Investment Board, the Board of University Hospitals and Clinics and the Wisconsin Center District Board. of Directors • Graduate of Harvard Law School and Marquette University ZBB ENERGY CORPORATION ZBB
  20. 20. Financial Data Summary of Capitalization AMEX: ZBB Public Float 6,927,864 66.0% Stock Price: $3.85 Institutions1 3,192,064 30.3% Market Cap: $40.5 Million Insiders 392,355 3.7% Common Shares Outstanding 10,512,283 100% Select Financial Data at June 30, 2008 (in millions) Fiscal Year End June 30 Revenues $1.3 Total Cash $8.5 Total Debt2 $2.05 Total Assets3 $15.5 Shareholders Equity $12.02 Notes: 1 Represents GLG Partners ownership 2Debt represents mortgage on newly acquired Milwaukee facility and equipment 3 R&D investment to date approximately $60mm ZBB ENERGY CORPORATION ZBB
  21. 21. ZBB - The Energy Storage Leader “ZBB is a transition stage manufacturer of zinc bromide flow batteries and the clear leader in the “hours of discharge time” product class.” -John Peterson, Seeking Alpha, Alternative Energy Storage and Blood in the Streets, dated October 13, 2008 quot;ZBB Energy Corporation [is] a leader in developing and producing technology that increases energy efficiency, minimizes the impact on the environment and maximizes the use of renewable energy.“ -Wisconsin Gov. Jim Doyle, Visit to ZBB Energy Corporation manufacturing facilities, dated October 3, 2008 quot;Grid-scale storage is here now” -Dr Ed Cazalet of MegaWatt Storage Farms, Electricity Storage Association's Annual Meeting in California, 2008 quot;No matter what kinds of alternative renewable energy sources are developed, they cannot be fully utilized if there's no way to store the energy they generate for use during peak-demand hours. ZBB's electrical fuel cell is the answer.“ peak- hours. answer. -Michael Betsch, New Age Energy's CEO, August 2008 ZBB ENERGY CORPORATION ZBB
  22. 22. Thank You Example Presentation April 2008

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