CTS Corporation Announces Addition of New Automotive Sensor Manufacturing Facility in China

    ELKHART, Ind.--July 16, 2003--CTS Corporation today announced that work has begun on a new leased automotive products manufacturing facility in the city of Dongguan in Guangdong Province, People's Republic of China. This new facility, which is adjacent to the current CTS components manufacturing operation, is intended primarily for the production of automotive sensors, pedal assemblies and other automotive products for the rapidly expanding Asian market. Operations in the new facility are expected to begin by the first quarter of 2004.
    Dongguan was selected as the site for the first automotive operation in China because of its proximity to customers, and because of CTS' very successful existing components manufacturing operation there, which will provide operations infrastructure to support the start-up of the new operation. CTS has operated its current facility in Dongguan since 1998.
    The new Dongguan facility will add to CTS' worldwide sensor and other automotive products manufacturing capabilities which include locations in Elkhart and Berne, Indiana; Streetsville, Ontario, Canada; High Blantyre, Scotland; Matamoros, Mexico; and Kaohsiung, Taiwan, Republic of China.
    Commenting on the new Dongguan building, Donald Schwanz, CTS Chairman and Chief Executive Officer, said, "Our automotive sales in Asia and China, in particular, have grown rapidly in the past year and we expect to see this continue. This production facility will allow us to better serve customers in the region, providing improved service, shorter lead times, and better operating economics. As our business grows in the region we expect to add additional facilities in other locations."

    CTS Corporation is a leading designer and manufacturer of components and sensors, and EMS for the automotive, computer and communications markets. The Company manufactures products in North America, Europe and Asia. Worldwide sales coverage is accomplished through a network of direct sales personnel, independent manufacturers' representatives and electronic distributors. The Company's stock is traded on the NYSE under the ticker symbol "CTS." To find out more, visit the Company's website at www.ctscorp.com.