ForceField Energy Inc. an international manufacturer, seller and distributor of energy products and solutions, announced it signed a three-year sub-distribution agreement with Prime Energy Solutions AG, a Wiesbaden, Germany consultancy company focused on the energy sector, and received an order for the sale and installation of LED lighting products at two public schools in Germany.

Under the terms of the agreement, Prime has committed to purchase $15 million dollars of ForceField's Lightsky LED products during the first twelve months in order to maintain its exclusive distribution rights within Germany. The agreement is subject to reasonable annual performance measures and is subject to termination by either party. Prime will also have non-exclusive rights to distribute ForceField's LED products outside of Germany.

Upon execution of the agreement, Prime delivered a project for the installation of LED lighting products at two public schools located in Germany. The installation is scheduled to commence in the late second quarter of 2013. The overall scope of the project is anticipated to include up to 243 schools across Germany, pending the successful installation at the first two schools and needed approval by the various school districts. The complete project would require between eighteen and twenty-four months to complete.

Prime Energy Solutions will initially focus its marketing efforts on finalizing the project's commitment to include all 243 schools and their respective districts. In addition, they will target streetlights, public facilities and diverse commercial applications that could benefit from converting to LED lighting.

Richard St-Julien, ForceField's Chairman commented, "This commitment dovetails perfectly with the size and scale of projects that ForceField is currently seeking to capitalize on globally. It underscores the strength of our technology and solutions and demonstrates well the economic and aesthetic benefits of converting to LED from more traditional lighting solutions. Our agreement with Prime provides us with an opportunity to access one of the strongest markets in Europe and opens new doors to significant opportunities in both the public and commercial marketplaces. With our high quality LED products and services, we are well positioned to generate excellent growth in the LED market over the next several years."

Dr. Ulrich Fritzsche with Prime Energy Solutions stated, "ForceField provides us with high-quality and cost-efficient LED solutions that meet the significant demand in public and commercial venues within Germany and other key markets globally. We believe that this is the first of many potential opportunities to leverage the strengths of both our organizations to support the needs of our growing and diverse customer base."

Western Europe presents a strong opportunity for LED technology and energy efficient lighting. A recent presentation by FinPro, a global expert organization, reinforces this outlook by highlighting the following factors:

• Markets with energy-saving awareness and related regulations
• Need for energy cost savings
• High industrial electricity prices in Austria, Benelux, France, Germany, Italy, Spain, and UK
• High cost countries where the price differential of LED lamps is a relatively small issue
• Fast growing markets with room for new players