Millennium Cell, Inc. (NASD: MCEL) informed the public that they will be terminating the company’s executive officers and employees at the close of business on Friday, May 9. Employees of the company were advised that there could be a possible recall offer for employment if immediate cash funding in a sufficient amount is attained to restart operations.

The Executive Committee of the Board of Directors and other members of senior management who are serving on a voluntary basis only have been in contact with a corporation that has expressed interest in entering into a reverse merger transaction with the company, which would result in short term liquidity to the company pending completion. This requires that the company’s common stock remain listed on the NASDAQ and that the company restructure their existing convertible debentures in a principle amount of $4.1 million.

A hearing is scheduled for June 12, 2008, in which the company will present a plan of compliance to NASDAQ. There has been no guarantee made by the company as far as possible completion of the transaction or another option for attaining immediate cash. Therefore, bankruptcy may become a reality for the company.

Millennium Cell, Inc. develops hydrogen batteries for use in portable electronic devices primarily for the military, medical, industrial, and consumer markets. The batteries contain both a fuel cell and hydrogen storage technology. The fuel cell converts stored hydrogen from the fuel cartridge into electricity.

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