U.S. SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
STATEMENT OF CHANGES IN BENEFICIAL OWNERSHIP
Filed pursuant to Section 16(a) of the Securities Exchange
Act of 1934, Section 17(a) of the Public Utility Holding Company
Act of 1935 or Section 30(f) of the Investment Company Act of
1940
___ Check here if no longer subject to Section 16.
Form 4 or Form 5 obligations may continue.
See Instructions l(b).
1. Name and Address of Reporting Person:
CHARLES L. MATHEWS
1111 Cardinal Lane
Paige TX 78659
2. Issuer Name and Ticker or Trading Symbol
ELECTROSOURCE, INC., ELSI
3. IRS or Social Security Number of Reporting Person (Voluntary)
###-##-####
4. Statement for (Month/Year)
August 1998
5. If Amendment, Date of Original (Month/Year)
N/A
6. Relationship of Reporting Person to Issuer (Mark all applicable)
Yes x No ___ Director
Yes ___ No ___ 10% Owner
Yes ___ No ___ Officer (give title below)
Yes ___ No ___ Other (specify below)
TABLE I - Non-Derivative Securities Acquired, Disposed of, or
Beneficially Owned
1. Title of Security (Instruction 3):
Common Stock, $1.00 par value
2. Transaction Date (Month/Day/Year):
N/A
3. Transaction Code (Instruction 8):
A. Code:
B. V:
4. Securities Acquired (A) or Disposed of (D) (Instructions 3, 4 and 5):
A. Amount:
B. Acquired (A)___ Disposed of (D)____
C: Price:
5. Amount of Securities Beneficially Owned at End of Month
(Instructions 3 and 4):
(1.) 1,667 (2.) 4
6. Ownership Form Direct (D) or Indirect (I) (Instructions 3 and 4):
(1.) Direct (2.) Indirect
7. Nature of Indirect Beneficial Ownership (Instruction 4):
(2.) Owned by spouse
TABLE II - Derivative Securities Acquired, Disposed of, or
Beneficially Owned
(e.g., puts, calls, warrants, options, convertible securities)
1. Title of Derivative Security (Instruction 3):
Employee Stock Options
2. Conversion or Exercise Price of Derivative Security:
$1.5630
3. Transaction Date (Month/Day/Year):
August 18, 1998
4. Transaction Code (Instruction 8):
A. Code: J (See Explanation of Responses)
B. V
5. Number of Derivative Securities Acquired (A) or Disposed of (D)
(Instructions 3, 4 and 5):
A. Acquired (A): N/A
B. Disposed of (D): N/A
6. Date of Exercisable and Expiration Date (Month/Day/Year):
A. Date Exercisable: N/A
B. Expiration Date: N/A
7. Title and Amount of Underlying Securities (Instructions 3 and 4):
A. Title: Common Stock, $1.00 par value
B. Amount or Number of Shares 50,000
8. Price of Derivative Security (Instruction 5):
N/A
9. Number of Derivative Securities Beneficially Owned at End of
Month (Instruction 4):
50,000
10. Ownership Form of Derivative Security: Direct (D) or
Indirect (I) (Instruction 4):
Direct
11. Nature of Indirect Beneficial Ownership (Instruction 4):
N/A
Explanation of Responses:
The Board of Directors approved the regranting of employee
stock options as of August 18, 1998. No other terms or
conditions of the options were changed.
/s/ Charles L. Mathews
Date: September 10, 1998
