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    Hydrogenics Announces Termination of Manufacturing and Supply Agreement With APC

    MISSISSAUGA, ONTARIO, CANADA - July 22, 2009 - Hydrogenics Corporation, a leading developer and manufacturer of hydrogen generation and fuel cell products, announces that it has formally notified American Power Conversion Corporation ("APC") of the termination of the manufacturing and supply agreement (the "Supply Agreement") dated August 9, 2006 between Hydrogenics and APC.

    The Supply Agreement provided that APC would purchase up to 500 HyPM XR 12 kW Fuel Cell Power Modules from Hydrogenics for integration into APC's NCPI solutions, specifically its InfraStruXure architecture, over a three year period, subject to the terms of the Supply Agreement. In the notice of termination, Hydrogenics has requested a termination payment of approximately US$2.1 million by APC, as determined by a formula in the Supply Agreement based on the number of products for which APC has issued orders and paid for under the Supply Agreement.

    "We remain committed to working with APC towards an amicable resolution of APC's obligations under the Supply Agreement," said Daryl Wilson, President and Chief Executive Officer of Hydrogenics. "We strongly believe that despite the termination of the Supply Agreement, our independent efforts over the past three years have resulted in the development of significant expertise and know-how, which will allow us to build upon and benefit other fuel cell products, applications and solutions."
     
     
    CAUTION REGARDING FORWARD-LOOKING STATEMENTS

    This release contains forward-looking statements and other statements concerning Hydrogenics objectives and strategies and managements beliefs, plans, estimates and intentions about its achievements, future results, goals, levels of activity, performance, and other future events. Hydrogenics believes the expectations reflected in its forward-looking statements are reasonable, although cannot guarantee achievements, future results, levels of activity, performance, or other future events. These statements are based on the managements current expectations and actual results may differ from these forward-looking statements due to numerous factors. Readers should not place undue reliance on these forward-looking statements. Readers are encouraged to review the section captioned “Risk Factors” in Hydrogenics regulatory filings with the Canadian securities regulatory authorities and the United States Securities and Exchange Commission, for a more complete discussion of the factors that could affect the foregoing forward-looking statements. Furthermore, the forward-looking statements contained herein are made as of the date of this release, and Hydrogenics undertakes no obligations to revise or update any forward-looking statements in order to reflect events or circumstances that may arise after the date of this release, unless otherwise required by law. The forward-looking statements contained in this release are expressly qualified by this cautionary statement.

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