TECHNOLOGY FOCUS - ELECTRONICS - Preferred Components: The positive electrode material has: a specific discharge capacity of at least 260 mAh/g with a discharge rate of C/3, when discharged from 4.6-2 V at room temperature; and average voltage of at least 3.5 volts and a specific discharge capacity of at least 245 mAh/g, when discharged from 4.6-2 volts at room temperature at a rate of C/3. In the battery the positive electrode active composition comprises 0.025-5 mole% of metal halide. The lithium ion battery has a first cycle irreversible capacity loss that is reduced by at least 25% relative to irreversible capacity loss of a battery formed with an uncoated lithium metal oxide. In the lithium ion battery the positive electrode active material has at least 170 mAh/g of discharge specific capacity at cycle 500 at a discharge rate of C/3 from 4.5-2 volts.    TECHNOLOGY FOCUS - INORGANIC CHEMISTRY - Preferred Components: The coating composition comprises mono-(non-fluoride) halide of sodium, lithium or other monovalent metal cations, di-(non-fluoride) halides of magnesium, zinc, barium, strontium, calcium or other divalent metal cations, tri-(non-fluoride)halides of aluminum, gallium, indium or other trivalent metal cations, tetra-(non-fluoride)halides of zirconium, titanium, vanadium or other tetravalent metal cations, penta-(non-fluoride)halides of tantalum, niobium or other pentavalent metal cations and/or hexa-(non-fluoride) halides of molybdenum, tungsten, ruthenium or other hexavalent metal cations, where the non-fluoride halide includes chloride, bromide and/or iodide. The coating composition: comprises aluminum trichloride, aluminum tribromide and/or aluminum triiodide; is substantially free of oxygen anions; and has an average coating amount of 0.05-1 mole%. The coating composition further comprises metal fluoride. The lithium metal oxide is of formula (Li(1+b)Ni( alpha )Mn( beta )Co( gamma )A( delta )O2), Li(1+b1)Ni( alpha 1)Mn( beta 1)Co( gamma 1)( delta 1)O2) or (xLi2MnO3(1-x)LiMO2). In the method: the metal salt is water soluble salt of aluminum; the coated particles comprise 0.025-5 mole% of metal halide; the soluble non-fluoride halide compound is ammonium halide; and the solution is aqueous. Preferred Method: In the method: after combining of the metal salt, non-fluoride halide and lithium metal oxide particles, the combination is mixed at 60-100 degrees C for 1-25 hours; and the particles are mixed with the soluble metal salt to form a first mixture, and the solution comprising the soluble non-fluoride halide compound is added to the first mixture.M = at least one metal ion having average valance of +3;x = 0.01-0.3, 0-1 or 0.1-0.45;b = 0.05-0.3;alpha = 0-0.4;beta = 0.2-0.65;gamma = 0-0.46;delta = 0-0.15;A = Mg, Sr, Ba, Cd, Zn, Al, Ga, B, Zr, Ti, Ca, Ce, Y, Nb, Cr, Fe, V and/or Li; and eitherb1 = 0.05-0.3; andalpha 1 = 0.1-0.4; andbeta 1 = 0.3-0.65; andgamma 1 = 0.05-0.4; orb1+ alpha 1+ beta 1+ gamma 1 = 1. EXAMPLE - Stoichiometric amounts of metal precursors were dissolved in distilled water to obtain an aqueous solution with metal salts. Sodium carbonate (1-4 M) and/or ammonium hydroxide (0.2-2 M) aqueous solutions were prepared. Both the solutions were added to reaction vessel to obtain metal carbonate or hydroxide precipitates. The reaction mixture was stirred, and maintained between room temperature and 80 degrees C at a pH of 6-12 for 0.1-24 hours. The metal carbonate or hydroxide precipitates were filtered, washed and dried at 110 degrees C to obtain a metal carbonate or hydroxide powder. Lithium carbonate powder was combined with dried metal carbonate or hydroxide powder and mixed with a jar mill to obtain a homogenous powder mixture. A portion (5 g) of the powder was calcined to obtain oxide, followed by an additional mixing to further homogenize the powder. The obtained powder was again calcined at 400-800 degrees C for 1-24 hours under nitrogen to form lithium metal oxide (LMO) positive electrode composite material particles. The LMO particles were coated with a thin layer of aluminum chloride, fluoride, bromide or iodide to obtain aluminum fluoride coated positive electrode material.