Apr. 29--COLONIE -- Andy Marsh has Plug Power Inc. driving in the right direction.

One year after becoming chief executive officer, Marsh has forged a new personality for the Latham-based fuel cell manufacturer, and has it on the road to profitability.

After all, when Marsh was hired last year as successor to Roger Saillant, he took over a company that was best known for selling back-up power to the cellphone industry, a difficult niche for the public to understand.

Now, Plug has rapidly become best-known for its GenDrive fuel cell designed for fork lifts used in warehouses and distribution centers. And its customers are well-known names like Wal-Mart and Nestle.

That success was bolstered earlier this month when the Department of Energy announced $41.9 million in funding for fuel cell technology through the federal stimulus bill.

Not only will Plug get $6 million in direct funding, but companies like Anheuser-Busch, FedEx and Sysco are being given millions in federal money to buy 304 GenDrive units.

To put that in perspective, Plug received 358 GenDrive orders for all of 2008. Each GenDrive unit sells for between $15,000 and $30,000.

"This is absolutely a great time to be in the business," Marsh said Tuesday at Plug's headquarters on Albany-Shaker Road. "This is a time for companies like Plug to take advantage of all these developments. We're just so well-positioned for the future. I have been very lucky."

Of course, Marsh has had to make some tough decisions. Shortly after being named CEO in April 2008, he eliminated 80 jobs, most of them at the Latham headquarters. Another 90 jobs were cut in December, bringing the current employee count to slightly over 200.

However, under Marsh, Plug has been able to slash its cash-burn rate, and will outline its path to profitability by the end of the year -- something the company has never accomplished. Plug lost $121 million in 2008, although $45 million of that was on paper because the company had to write off goodwill from previous acquisitions.

Maureen Helmer, a local attorney and Plug director, was a member of the search committee that introduced Marsh to the board. She said directors were impressed with his previous career as CEO of Valere Power, a company in Richardson, Texas, that made power devices for the telecommunications industry. Valere, which Marsh helped create in 2001, was sold in 2007 to Eltek Energy of Norway for cash and stock valued at as much as $130 million.

"Aside from his obvious energy and enthusiasm, the thing that is most striking about Andy's first year is the way he has brought a laser-type focus to the company's goals and operations," Helmer said.

Marsh also is putting a lot of faith in the future of the company's GenSys fuel cell system, which provides combined heat and power to homes and small businesses. Plug has inked pilot projects with two utilities, National Grid and Southern California Gas Co., to test the systems. It will deploy 20 of the units this year and as many as 60 next year, Marsh said. "This will become a big business," he said.

Larry Rulison can be reached at 454-5504 or by e-mail at lrulison@timesunion.com.

Andy Marsh

Title: CEO, Plug Power Inc.

Age: 53

Hometown: Willow Grove, Pa.

Residence: Saratoga Springs

Family: Married

Education: B.S. in electrical engineering technology, Temple University; M.S. in electrical engineering, Duke University; MBA, Southern Methodist University

Quote: "I just love the area. It's just a wonderful place to live. I'm amazed how nice the people are."

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