Other Events.

On June 27, 2017, EnerSys settled a portion of its previously disclosed proceeding involving the German Competition Authority relating to conduct involving EnerSys’ motive power battery business and agreeing to pay a fine of €12.6 million (or approximately $13.5 million), which is payable by July 12, 2017. Also on June 27, 2017, the German Competition Authority issued a fining decision related to EnerSys’ reserve power battery business, which constitutes the remaining portion of the previously disclosed German proceeding. EnerSys is appealing this decision, including payment of the proposed fine of €10.0 million (or approximately $10.7 million). EnerSys is not required to escrow any portion of this proposed fine during the appeal process.

As of March 31, 2017, we estimated a possible liability associated with the German regulatory proceeding of €12.6 million (or approximately $13.5 million). As of the filing of our annual report on Form 10-K and based upon the then available information, EnerSys had not set aside a reserve balance in accrued expenses on the Consolidated Balance Sheets in connection with the fining decision by the German Competition Authority related to EnerSys’ reserve power battery business because such amount was not estimable at that time. We continue to believe the reserve power matter does not require an accrual.

EnerSys is making this statement in order to satisfy the “Safe Harbor” provision contained in the Private Securities Litigation Reform Act of 1995. Any of the statements contained in this periodic report that are not statements of historical fact may include forward-looking statements that involve a number of risks and uncertainties. A forward-looking statement predicts, projects, or uses future events as expectations or possibilities. Forward-looking statements may be based on expectations concerning future events and are subject to risks and uncertainties relating to operations and the economic environment, all of which are difficult to predict and many of which are beyond our control. For a discussion of such risks and uncertainties that could cause actual results to differ materially from those matters expressed in or implied by forward-looking statements, please see our risk factors as disclosed in the “Risk Factors” section of our annual report on Form 10-K for the most recently ended fiscal year.

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About EnerSys (NYSE:ENS)

EnerSys is a manufacturer, marketer and distributor of industrial batteries. The Company manufactures, markets and distributes related products, such as chargers, power equipment, outdoor cabinet enclosures and battery accessories, and provides related after-market and customer-support services for industrial batteries. Its segments based on geographic regions consist of Americas, which consists of North and South America; EMEA, which includes Europe, the Middle East and Africa, and Asia, which includes Asia, Australia and Oceania. The Company’s product lines include reserve power and motive power products. Its Reserve power products also include thermally managed cabinets and enclosures for electronic equipment and batteries. The Company’s motive power products are used to provide power for electric industrial forklifts used in manufacturing, warehousing and other material handling applications. They are used as mining equipment, diesel locomotive starting and other rail equipment.