CTS Awarded Electronic Accelerator Pedal Program by Chinese Automotive Manufacturer

ELKHART, Ind.--Jan. 2, 20040, 2004--CTS Corporation , a global leader in the production of automotive electronic sensors and components, today announced that a leading Chinese vehicle manufacturer has selected CTS Automotive Products to supply non-contacting Electronic Throttle Control (ETC) Pedal Assemblies for use in passenger vehicles produced in China. Prototypes have been delivered, and CTS will begin volume production later this year in its new Dongguan automotive facility. This initial award, amounting to over $10 million in new revenues through 2009, is the first application of advanced integrated electronic pedal technology with a local Chinese automotive manufacturer.

"The award of this integrated accelerator pedal program to CTS offers further confirmation of the success of our growth strategy in China," said Donald Schwanz, chairman and chief executive officer of CTS. "CTS' automotive product sales in China are expected to increase by over 40% in 2004, and continue to grow rapidly in coming years," added Schwanz.

The use of electronic throttle control systems and integrated electronic throttle control pedals is just beginning in China and is expected to grow significantly over the next five years, driven by emissions and fuel economy requirements. ETC Systems are replacing conventional mechanical throttle control systems because they improve fuel economy, reduce emissions and enable the use of other innovative technologies such as adaptive cruise control and traction control systems. The ETC Pedal Assembly is mounted in place of the existing accelerator pedal and converts mechanical pedal movement into an electronic signal. The CTS ETC pedal assembly, in either contacting or non-contacting design, meets all typical passenger compartment automotive specifications, can be used with both gasoline and diesel applications and is compatible with multiple engine control units.

CTS Automotive Products designs and manufactures sensors, actuators and subsystems used in powertrain, safety, suspension, fuel and emissions control systems for automotive manufacturers worldwide. The Company manufactures automotive and related products in Elkhart, Indiana; Streetsville, Ontario, Canada; High Blantyre, Scotland; Matamoros, Mexico; Kaohsiung, Taiwan; and Dongguan, China.

For more information on CTS automotive and related products in China and Asia, please contact Barry Simes at (574) 295-3575 (U.S.) or Xiaoying Gao at 011 86 021 6979 1222 (Shanghai, China).

CTS Corporation is a leading designer and manufacturer of electronic components and sensors, and a provider of EMS products and services for the automotive, computer and communications markets. We manufacture products in North America, Europe and Asia. Our network of direct sales personnel, independent manufacturers' representatives and electronic distributors provides worldwide sales coverage. Our stock is traded on the NYSE under the ticker symbol "CTS." To find out more, visit our Web site at www.ctscorp.com.

The foregoing are "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are based on management's expectations, certain assumptions and currently available information. Actual results may differ materially from those reflected in the forward-looking statements due to a variety of geopolitical, economic, health, industry and other factors which could affect the Company's operating results, liquidity and financial condition. We undertake no obligations to publicly update or revise any forward-looking statements. Investors are encouraged to examine the Company's SEC filings, which more fully describe the risks and uncertainties associated with the Company's business.