A hybrid or electric vehicle includes a lithium-ion battery and a controller. The controller is programmed to discharge the battery through an electrical load to a predetermined voltage less than a voltage associated with zero state of charge such that relative degrees of lithiation associated with the electrodes of the battery change for at least one state of charge resulting in an increase in battery maximum capacity. The controller may be on-board or off-board of the vehicle. The electrical load may be part of the vehicle or external to the vehicle.