Exide Technologies Reports Fiscal First Quarter 2006 Results

Consolidated net sales for the first quarter of fiscal 2006 rose9.2 percent to $669.3 million from $612.5 million in the first quarterof fiscal 2005. Quarterly net sales results benefited from higheraverage selling prices as a result of lead-related pricing actionsacross the business, as well as continued strong Motive Power demandworldwide. Favorable currency exchange rates also benefited net salesCompany-wide.

"While all of our divisions contributed to the increase in sales,three out of the four divisions delivered better operatingperformance. During the first quarter and in the month of July, webegan taking a number of steps to make Exide a stronger and morecompetitive organization," said Gordon Ulsh, President and ChiefExecutive Officer. "Although progress is being made, there clearlyremains much more to do. Looking forward to the full year, we remainfocused on delivering profitable revenue growth and continued expenserationalization to enhance shareholder value."

Consolidated income for the first quarter of fiscal 2006 was a netloss of $35.7 million, or $1.43 per share. Results includerestructuring costs and reorganization items of approximately $4.3million, a $10.6 million currency remeasurement losses and a loss onsale of capital assets of $1.5 million. The results were offset by anunrealized gain on the re-evaluation of warrants of $8.1 million. Theresults compare to reported first quarter fiscal 2005 net income of$1,782.2 million, which includes the impact of Fresh Start accountingand a gain on the discharge of indebtedness totaling $1,787.2 million.

The Company uses adjusted EBITDA as a key measure of the Company'soperational and financial performance because the Company believes itprovides useful information for investors. Adjusted EBITDA is definedas earnings before interest, taxes, depreciation, amortization andrestructuring charges. The Company's adjusted EBITDA definition alsoadjusts reported earnings for the effect of non-cash currencyre-measurement gains or losses, the non-cash gain or loss fromrevaluation of the Company's warrants liability, impairment chargesand non-cash gains or losses on asset sales. A reconciliation ofadjusted EBITDA to income reported under Generally Accepted AccountingPrincipals ("GAAP") is attached hereto.

Adjusted EBITDA for the first quarter of fiscal 2006 declined $6.7million to $19 million principally driven by higher commodity prices.Average lead prices increased 16.5 percent over the prior-year periodto EUR 784 ($987) per metric tonne. The strength of the Euro againstthe U.S. Dollar offset lower results by $0.5 million.

Conference Call Details

Exide President and CEO Gordon A. Ulsh and other members of seniormanagement will host a conference call on Wednesday, July 27, 2005 formembers of the investment community to discuss the Company's financialresults and general business operations at 11:00 a.m. Eastern DaylightSaving Time.

The conference call information follows:
Date: July 27, 2005
Time: 11 a.m. Eastern Daylight Saving Time
Domestic Dial-In Number: 800-706-7741
International Dial-In Number: 617-614-3471
Passcode: 55868061

For individuals unable to participate in the conference call, a
telephone replay will be available from 1 p.m. on July 27, 2005 until
midnight on August 27, 2005 at:

Domestic Replay Number: 888-286-8010
International Replay Number: 617-801-6888
Passcode: 95331965

An audio webcast of the conference call can also be accessed via
www.exide.com and will be available for 12 months. RealPlayer or
Windows Media Player will be required in order to access the webcast.

About Exide Technologies

Exide Technologies, with operations in 89 countries, is one of theworld's largest producers and recyclers of lead-acid batteries. TheCompany's four global business groups - Transportation Americas,Transportation Europe and Rest of World, Industrial Energy Americasand Industrial Energy Europe and Rest of World - provide acomprehensive range of stored electrical energy products and servicesfor industrial and transportation applications.

Transportation markets include original-equipment and aftermarketautomotive, heavy-duty truck, agricultural and marine applications,and new technologies for hybrid vehicles and 42-volt automotiveapplications. Industrial markets include network power applicationssuch as telecommunications systems, electric utilities, railroads,photovoltaic (solar-power related) and uninterruptible power supply(UPS), and motive-power applications including lift trucks, mining andother commercial vehicles.

Further information about Exide, including its financial results,is available at www.exide.com.

Forward-Looking Statements

Except for historical information, this report may be deemed tocontain "forward-looking" statements. The Company desires to availitself of the safe harbor provisions of the Private SecuritiesLitigation Reform Act of 1995 (the "Act") and is including thiscautionary statement for the express purpose of availing itself of theprotection afforded by the Act.

Examples of forward-looking statements include, but are notlimited to (a) projections of revenues, cost of raw materials, incomeor loss, earnings or loss per share, capital expenditures, growthprospects, dividends, the effect of currency translations, capitalstructure and other financial items, (b) statements of plans of andobjectives of the Company or its management or Board of Directors,including the introduction of new products, or estimates orpredictions of actions by customers, suppliers, competitors orregulating authorities, (c) statements of future economic performance,(d) statements of assumptions, such as the prevailing weatherconditions in the Company's market areas, underlying other statementsand statements about the Company or its business and (e) statementsregarding the ability to obtain amendments under the Company's debtagreements.

Factors that could cause actual results to differ materially fromthese forward looking statements include, but are not limited to, thefollowing general factors such as: (i) adverse reactions by creditors,vendors, customers, and others to the going-concern qualificationcontained in the audit report in the Company's 10-K for fiscal year2005; (ii) the Company's ability to implement and fund based oncurrent liquidity business strategies and restructuring plans, (iii)the Company's substantial debt and debt service requirements which mayrestrict the Company's operational and financial flexibility, as wellas imposing significant interest and financing costs and the Company'sability to comply with the covenants in its debt agreements or obtainwaivers of noncompliance, (iv) the litigation proceedings to which theCompany is subject, the results of which could have a material adverseeffect on the Company and its business, (v) the fact that lead, amajor ingredient in most of the Company's products, experiencessignificant fluctuations in market price and is a hazardous materialthat may give rise to costly environmental and safety claims, (vi) thesubstantial management time and financial and other resources neededfor the Company's consolidation and rationalization of acquiredentities, (vii) the Company's exposure to fluctuations in interestrates on its variable debt, (vii) general economic conditions, (viii)the ability to acquire goods and services and/or fulfill labor needsat budgeted costs, and (ix) our ability to attract and retain keypersonnel. Some of the factors contained herein, and other factors,are enumerated in further detail in the Company's most recent Form10-K filed on June 29, 2005 and the Company's Registration Statementon Form S-3 filed with the Commission on July 15, 2005.

Therefore, the Company cautions each reader of this press releasecarefully to consider those factors hereinabove set forth, becausesuch factors have, in some instances, affected and in the future couldaffect, the ability of the Company to achieve its projected resultsand may cause actual results to differ materially from those expressedherein.
EXIDE TECHNOLOGIES AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(In thousands, except per share data)



Succcessor Succcessor Predecessor
Company Company Company
for the for the for the
Three Period Period
Months May 6, April 1,
Ended 2004 to 2004 to
June 30, June 30, May 5,
2005 2004 2004
---------- ---------- -----------

NET SALES $669,332 $397,928 $214,607
COST OF SALES 567,116 333,129 179,137
---------- ---------- -----------
Gross profit 102,216 64,799 35,470
---------- ---------- -----------
EXPENSES:
Selling, marketing and advertising 71,073 41,288 24,504
General and administrative 43,738 23,389 17,940
Restructuring and impairment 2,901 2,447 602
Other (income) expense, net 3,400 (42,876) 6,222
Interest expense, net 16,100 6,026 8,870
---------- ---------- -----------
137,212 30,274 58,138
---------- ---------- -----------
Income (loss) before reorganization
items, income taxes and
minority interest (34,996) 34,525 (22,668)
REORGANIZATION ITEMS, NET 1,372 1,693 18,434
FRESH START ACCOUNTING ADJUSTMENTS,
NET - - (228,371)
GAIN ON DISCHARGE OF LIABILITIES
SUBJECT TO COMPROMISE - - (1,558,839)
INCOME TAX BENEFIT (754) (828) (2,482)
MINORITY INTEREST 95 33 26
---------- ---------- -----------
Net income (loss) $(35,709) $33,627 $1,748,564
========== ========== ===========
NET INCOME (LOSS) PER SHARE
Basic and Diluted $(1.43) $1.35 $63.86
========== ========== ===========
WEIGHTED AVERAGE SHARES
Basic and Diluted 25,000 25,000 27,383
========== ========== ===========

EXIDE TECHNOLOGIES AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS
(In thousands)


Successor Company
-----------------------
June 30, March 31,
2005 2005
----------- -----------

Cash $66,862 $76,696
Current assets, excluding cash $1,042,176 $1,114,032
Property, plant and equipment, net 752,668 799,763
Other assets 291,668 300,289
----------- -----------

Total assets $2,153,374 $2,290,780
=========== ===========

Current liabilities, excluding current
maturities $677,344 $738,784
Long term debt, including current maturities 653,828 652,163
Non current retirement obligations 317,616 329,628
Other liabilities 121,356 130,182
----------- -----------

Total liabilities 1,770,144 1,850,757

Minority interest 12,215 12,764
Stockholders' equity 371,015 427,259
----------- -----------

Total liabilities and stockholders' equity $2,153,374 $2,290,780
=========== ===========

EXIDE TECHNOLOGIES AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS
(In thousands)


Succcessor Succcessor Predecessor
Company Company Company
for the for the for the
Three Period Period
Months May 6, April 1,
Ended 2004 to 2004 to
June 30, June 30, May 5,
2005 2004 2004
---------- ---------- -----------

CASH FLOWS FROM OPERATING ACTIVITIES:
Net income (loss) $(35,709) $33,627 $1,748,564
Adjustments to reconcile net income
(loss) to net cash used in
operating activities:
Depreciation and amortization 30,341 21,699 7,848
Gain on discharge of liabilities
subject to compromise - - (1,558,839)
Fresh Start accounting adjustments,
net - - (228,371)
Unrealized gain on warrants (8,126) (43,612) -
Net change in working capital 1,181 (19,522) 14,084
Other, net (3,193) (8,001) 9,528
---------- ---------- -----------

Net cash used in operating activities (15,506) (15,809) (7,186)

CASH FLOWS FROM INVESTING ACTIVITIES:
Capital expenditures (11,545) (8,332) (7,152)
Proceeds from asset sales 9,982 3,600 2,800
---------- ---------- -----------

Net cash used in investing activities (1,563) (4,732) (4,352)

CASH FLOWS FROM FINANCING ACTIVITIES:
Net borrowings under Senior Credit
facility - - 500,000
Net borrowings and repayments under
Replacement DIP
Credit Facility and 9.125% Senior
Notes - - (464,832)
Currency swap (12,084) - -
Other 21,085 3,152 -
---------- ---------- -----------

Net cash provided by financing
activities 9,001 3,152 35,168

EFFECT OF EXCHANGE RATE CHANGES ON
CASH AND
CASH EQUIVALENTS (1,766) 766 (1,447)
---------- ---------- -----------

NET INCREASE (DECREASE) IN CASH AND
CASH EQUIVALENTS (9,834) (16,623) 22,183
CASH AND CASH EQUIVALENTS, END OF
PERIOD 76,696 59,596 37,413
---------- ---------- -----------
CASH AND CASH EQUIVALENTS, BEGINNING
OF PERIOD $66,862 $42,973 $59,596
========== ========== ===========


Footnote: Working capital represents receivables, inventories and
accounts payable

EXIDE TECHNOLOGIES AND SUBSIDIARIES
ADJUSTED EBITDA RECONCILIATION BY SEGMENT
SUCCESSOR COMPANY FOR THE THREE MONTHS ENDED JUNE 30, 2005
(In millions)



Industrial
Transportation Energy
--------------------------------
Europe Europe
North and North and
America ROW America ROW
--------------------------------

Net income (loss) $4.1 $(1.6) $4.4 $9.6

Interest expense, net - - - -
Income tax provision (benefit) - - - -

--------------------------------
EBIT 4.1 (1.6) 4.4 9.6

Depreciation and amortization 7.0 8.6 2.7 8.4
Reorganization items, net - - - -
Restructuring and impairment 0.4 0.4 0.4 1.1
Other restructuring costs included
in cost of sales &
general and administrative
expenses 0.2 0.2 - -
Currency remeasurement loss (gain) - - - -
Gain on revaluation of foreign
currency forward contract - - - -
Minority interest - - - -
Unrealized gain on revaluation of
warrants - - - -
Loss (gain) on sale of capital
assets 0.3 0.1 - -
Other non-cash losses (gains) 1.0 - (0.1) 0.1

--------------------------------
Adjusted EBITDA $13.0 $7.7 $7.4 $19.2
================================




Other Total
--------------

Net income (loss) $(52.2)$(35.7)

Interest expense, net 16.1 16.1
Income tax provision (benefit) (0.8) (0.8)

--------------
EBIT (36.9) (20.4)

Depreciation and amortization 3.6 30.3
Reorganization items, net 1.4 1.4
Restructuring and impairment 0.6 2.9
Other restructuring costs included in cost of sales &
general and administrative expenses 0.2 0.6
Currency remeasurement loss (gain) 11.7 11.7
Gain on revaluation of foreign currency forward
contract (1.1) (1.1)
Minority interest 0.1 0.1
Unrealized gain on revaluation of warrants (8.1) (8.1)
Loss (gain) on sale of capital assets 1.1 1.5
Other non-cash losses (gains) (0.9) 0.1

--------------
Adjusted EBITDA $(28.3) $19.0
==============

EXIDE TECHNOLOGIES AND SUBSIDIARIES
ADJUSTED EBITDA RECONCILIATION BY SEGMENT
FOR THE THREE MONTHS ENDED JUNE 30, 2004
(In millions)



Industrial
Transportation Energy
--------------------------------
Europe Europe
North and North and
America ROW America ROW
--------------------------------

Net income (loss) $8.5 $3.0 $3.2 $6.1

Interest expense, net - - - -
Income tax provision (benefit) - - - -
Fresh Start accounting adjustments,
net - - - -
Gain on discharge of liabilities
subject to compromise - - - -

--------------------------------
EBIT 8.5 3.0 3.2 6.1

Depreciation and amortization 7.3 9.0 3.2 8.0
Reorganization items, net - - - -
Restructuring and impairment 0.2 1.6 - 1.1
Currency remeasurement loss (gain) - - - -
Minority interest - - - -
Unrealized gain on revaluation of
warrants - - - -
Non-cash increase in cost of sales
from
Fresh Start inventory step-
up 0.7 0.8 0.1 1.0
Other non-cash losses (gains) 0.1 - - -

--------------------------------
Adjusted EBITDA $16.8 $14.4 $6.5 $16.2
================================



Succcessor Predecessor
Company Company
for the for the
Period Period
May 6, April 1,
2004 to 2004 to
June 30, May 5,
Other Total 2004 2004 Total
------------------------------------------------

Net income (loss) $1,761.4 $1,782.2 $33.6 $1,748.6 $1,782.2

Interest expense,
net 14.8 14.8 6.0 8.8 14.8
Income tax
provision
(benefit) (3.3) (3.3) (0.8) (2.5) (3.3)
Fresh Start
accounting
adjustments, net (228.4) (228.4) - (228.4) (228.4)
Gain on discharge
of liabilities
subject to
compromise (1,558.8)(1,558.8) - (1,558.8)(1,558.8)

------------------------------------------------
EBIT (14.3) 6.5 38.8 (32.3) 6.5

Depreciation and
amortization 2.1 29.6 21.7 7.9 29.6
Reorganization
items, net 20.1 20.1 1.7 18.4 20.1
Restructuring and
impairment 0.1 3.0 2.4 0.6 3.0
Currency
remeasurement loss
(gain) 7.4 7.4 1.1 6.3 7.4
Minority interest 0.1 0.1 0.1 - 0.1
Unrealized gain on
revaluation of
warrants (43.6) (43.6) (43.6) - (43.6)
Non-cash increase
in cost of sales
from
Fresh Start
inventory
step-up - 2.6 2.6 - 2.6
Other non-cash
losses (gains) (0.1) - - - -

------------------------------------------------
Adjusted EBITDA $(28.2) $25.7 $24.8 $0.9 $25.7
================================================