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CTS Corporation Awarded New Belt Tension Sensor Programs; Expected to Add $10 Million in Annual Revenue Beginning 2005

ELKHART, Ind.--Sept. 21, 2004--CTS Corporation , a world leader in automotive sensors and components, today announced that a major international vehicle manufacturer has selected CTS to supply seat belt tension sensors (BTS) for use on several passenger vehicle platforms. Production is expected to begin in late fourth quarter of 2004 for 2005 model year vehicles. The award, which covers the next several model years, is expected to contribute $10 million in revenue per year over the next five years, beginning in 2005.

Commenting on the award, Donald Schwanz, CTS' Chairman and Chief Executive Officer, stated, "We are very excited with our selection for these new platforms and, with this award, total annual BTS revenue will be in the range of $25 million per year, providing a significant contribution to our five-year stated objective of doubling our automotive business."

These newly awarded programs will use CTS' patent-pending BTS design which provides customers with greater installation flexibility, as well as small package size and outstanding performance characteristics. CTS offers a variety of belt tension sensor products suitable for different types of vehicle applications.

CTS' belt tension sensors are used in passenger vehicles as part of the current generation of occupant classification systems, mandated by Federal Motor Vehicle Safety Standard 208, which controls the deployment and force of passenger-side airbags. By 2006, all passenger vehicles sold in the U.S. must have an occupant classification system installed. Inclusive of this award, CTS has now received contracts for belt tension sensor applications on a significant number of vehicle platforms from six different OEM's.

CTS was also recently awarded a Development Agreement for an advanced Occupant Classification System which is planned for installation as early as model year 2008. The advanced Occupant Classification System may utilize CTS' belt tension sensor in certain applications.

About CTS Automotive Products: 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 and Berne, Indiana; Streetsville, Ontario, Canada; Glasgow, Scotland; Matamoros, Mexico; Kaohsiung, Taiwan; and Dongguan, China.

For additional information on CTS belt tension sensors or related safety, performance and convenience products, please contact Mike Wills, BTS Product Manager, phone: (586) 727-1118, or E-mail: Mike.Wills@ae.ctscorp.com.

About CTS:

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. The Company manufactures products in North America, Europe and Asia. A network of direct sales personnel, independent manufacturers' representatives and electronic distributors provides worldwide sales coverage. The Company's stock is traded on the NYSE under the ticker symbol "CTS." To find out more, visit the CTS Web site at www.ctscorp.com.

Forward-Looking Statements:

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. Investors are encouraged to examine the Company's SEC filings, which more fully describe the risks and uncertainties associated with the Company's business.