December 4, 2009 (FinancialWire) — Hydrogenics Corp. (NASDAQ: HYGS) (TSX: HYG), a leading developer and manufacturer of hydrogen generation and fuel cell products, announced that Hydrogenics Europe N.V., its Belgium-based operating subsidiary (the “Borrower), has secured a EUR 3.5 million operating facility from Dexia Bank S.A., a Belgium-based financial institution.

The facility will be used to finance working capital requirements for Hydrogenics’ OnSite Generation business in 2010.

Pursuant to the terms of the credit facility, the Borrower may borrow a maximum of 75% of the value of awarded sales contracts, approved by Dexia Bank, to a maximum of EUR 2.0 million, along with a maximum of EUR 1.5 million for general business purposes.

The credit facility bears interest at a rate of Euribor plus 1.45% per annum. It is secured by a EUR 1.0 million first secured charge covering all of the assets of the Borrower, which may be increased to EUR 1.5 million in certain circumstances, and contains a negative pledge precluding the Borrower from providing security over its assets. Additionally, the Borrower is required to maintain a solvency covenant, defined as equity plus current account divided by total liabilities, of not less than 25% and ensure that its inter-company account with Hydrogenics Corp. does not decrease to less than EUR 5.0 million at any time. As of November 30, 2009, the inter-company account was approximately EUR 5.1 million.

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