Delphi Wins New Battery, Switch and Electrical/Electronic Distribution System Business With Renault

TROY, Mich., Sept. 3 -- Delphi Corp. today announced multi-year contracts through 2006 valued at more than $335 million with Renault, supplying Delphi Freedom(R) batteries, steering column modules, switches and electrical/electronic distribution (E/ED) systems.

The Delphi Freedom(R) battery contracts totaling $22 million support the current model Renault Megane II, Scenic II, and Clio. The E/ED systems, contracts valued at $281 million, are for the supply of the current Renault Clio, Twingo and Kangoo. The remaining contracts, valued at $33 million, will supply steering column modules and switches for future vehicles.

The contracts make Delphi one of the major battery and E/EDS suppliers to Renault, supporting Renault in both Europe and South America. By the end of 2004, more than 900,000 vehicles manufactured by Renault globally will be started by a Delphi Freedom battery.

"Delphi is very pleased to increase its battery business with Renault, which already includes content on the Vel-Satis, Espace and Laguna," said Pankaj Dhingra, business line executive for Delphi's battery product line. "This new business reflects Renault's continued confidence in the quality and reliability of Delphi Freedom batteries."

The Delphi Freedom Battery is a maintenance-free lead-calcium design available in top post, side terminal and dual terminal configurations. The wrought lead-calcium grid design provides excellent current conductivity and resists damage from overcharging, heat, thermal runaway and vibration. The Delphi Freedom battery performs four key functions to meet various electrical system requirements: it supplies electrical energy for the accessories when the engine is not running and it supplies energy to the cranking motor and ignition system or glow plugs as the engine is started. The battery also intermittently supplies current for accessories when energy demand is greater than generator output and it acts as a voltage stabilizer in the electrical system.

"We are particularly happy that Renault is pleased with our high-caliber engineering and the design support we can provide them," said Paul Miller, Delphi Packard Electric business line executive for E/ED systems. "Having Renault select us for our E/ED systems validates our quality, reliability and additional value we provide."

Delphi-developed crimp technology has become the industry standard, achieving world-class durability for its connection systems. Delphi Packard also offers a complete family of electrical center technologies, connection systems, sensors and mechatronic devices.

"Delphi has a long history as a technology leader and has been manufacturing E/ED systems and batteries for more than 75 years," said Volker Barth, Delphi vice president, and president, Delphi Europe, Middle East and Africa. "To support our European customers we have full manufacturing and engineering capabilities in the region. We're excited to provide technologies that help differentiate their vehicles and enhance the driving experience."

Delphi provides a broad range of products and technologies to all European automotive manufacturers. With 32 technical centers globally and 10 located throughout Europe, Middle East and Africa, Delphi helps customers with solutions and engineering advancements.

Delphi sells batteries in 62 countries. With 11 manufacturing sites and four engineering and product development centers worldwide, Delphi produces batteries for various industries, including the OE and aftermarket automotive, heavy-duty, farm and commercial vehicle, marine, motorcycle and recreational vehicles.

In addition to Delphi Freedom batteries, Delphi also provides Renault with cam phasing technology on the Megane II and the Scenic II, and diesel common rail systems on the Megane and the Clio. At the heart of both the Megane and the Scenic's climate control system is a Delphi compact variable compressor known as a 6-CVC, which provides refrigerant flow in a highly efficient, quiet and vibration-free manner.

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