Millennium Cell terminates employment of executive officers

Millennium Cell Inc, a developer of hydrogen battery technology, announced on Monday that its Board of Directors has terminated the employment of all executive officers and employees of the Company effective as of the close of business on Friday, May 9, and has ceased operations. The Company has advised its employees of a possible recall offer for employment if immediate cash funding in an amount sufficient to restart operations becomes available.

The Executive Committee of the Board of Directors and certain members of senior management who are serving on a voluntary basis are engaged in discussions with a corporation that has expressed interest in entering into a reverse merger transaction with the Company, which would provide short term liquidity to the Company pending completion. That transaction will require, among other things, that the Company's common stock remain listed on the NASDAQ and that the Company restructure its existing convertible debentures in a principal amount of approximately $4.1 million after recent conversions. The Company is scheduled to present a plan of compliance to NASDAQ at a hearing on June 12, 2008.

The Company cannot provide any assurances that it will be able to complete this transaction or any other one which would provide an immediate source of cash. Without such a transaction and funding occurring in the very near term, the Company may be subject to a Bankruptcy proceeding.

Source: Fuel Cell Today