Bosch Sales Increase 17 Percent in North America

Plan Aggressive Growth in North and South America

FARMINGTON HILLS, Mich., May 10 -- In 2004, Bosch increased its North American sales by 17 percent, reaching $7.8 billion (6.3 billion euros). Dynamic growth activity was seen in all three of the company's business sectors -- Automotive Technology, Industrial Technology, and Consumer Goods and Building Technology.

"We are pleased with our 2004 sales growth," said Kurt Liedtke, member of the Board of Management, Robert Bosch GmbH. "Bosch has been fortunate to continue its growth in North America by providing innovative technologies to our customers. With continued investment in research and development, managing our diverse product portfolio and balancing our sales structure, we are poised to achieve further growth in this market."

Automotive Technology

Bosch's North American Automotive Technology sector saw a sales increase of approximately 16 percent to $5.2 billion (4.2 billion euros) in 2004. Automotive Technology is Bosch's largest business sector with approximately 14,000 associates in North America.

In 2004, Bosch became the largest automotive supplier in the world in terms of sales, and is one of the leading suppliers in North America. Bosch's Automotive Original Equipment division achieved its 2004 sales growth largely due to continued market embrace of Bosch innovation. Recent reports indicate Ford, Toyota, Honda, General Motors and DaimlerChrysler will include electronic stability control (ESC) as standard equipment on sport utility vehicles. This announcement, coupled with Bosch's investment and efforts to develop ESC, has lead to increased installation rates for the product. The body electrical and electronics division extended its long-term wiper systems business and secured window-lift business with several OEMs. The powertrain division continued to aggressively promote diesel as a viable near- to mid- term solution for the passenger vehicle market in the U.S.

Blaupunkt, a subsidiary of Bosch, saw its America SR04 Satellite Radio sales increase in 2004 due to the growth in popularity of satellite radio.

Industrial Technology

In Industrial Technology, sales increased by 30 percent, reaching $1 billion (805 million euros). With approximately 2,800 associates, Bosch makes a strong impact in this sector with its automation and packaging technology.

A key growth contributor in the Industrial Technology sector was the 2004 acquisition of Sigpack, a market leader in packaging machinery for the pharmaceutical, food and confectionery industries. This global acquisition, particularly its North American entity Doboy, Inc., provided significant impact by expanding and diversifying its market position. The acquisition increased Bosch's capabilities as a single-source provider and contributed to the addition of four facilities and more than 350 associates in the U.S.

Consumer Goods and Building Technology

The Consumer Goods and Building Technology business sector saw growth of 23 percent, resulting in 2004 revenues totaling $1.6 billion (1.3 billion euros). In North America, Consumer Goods and Building Technology employs approximately 6,000 associates and supplies products that include power tools, security systems, home appliances and thermotechnology.

A number of technologies in this sector made their debut in 2004, which contributed to the success in North America. Bosch Security Systems, which provides complete security solutions for airports, banks, government offices, businesses and homes, introduced its Blue Line Intrusion Detectors, the flexible, plug-in modular detectors for residential and light commercial applications.

BSH Home Appliances, the third largest global appliance manufacturer, debuted its front-loading, NEXXT laundry care line at appliance retailers. The line is loaded with numerous innovations including temperature selections, sensor systems and water movement, providing unrivaled cleaning results while protecting fabrics from damage.

Future Growth Planned

Bosch globally will continue to pursue regional expansion, and has identified two key regions for growth -- one of which is the Americas, or North and South America. As the Americas region currently contributes 18% of Bosch's global sales, over ten years, this contribution is expected to increase over proportionately.

"Bosch has identified the Americas as a key growth region because of the economic, production and product opportunities the region offers," said Liedtke. "To achieve our long-term growth goals, we will remain focused on key attributes -- innovation, product diversity, long-term perspective and quality."

In addition to maintaining sound business practices, Bosch will actively manage its product portfolio through strategic acquisitions. Bosch will continue to focus on its core competencies, pursue growth in its Automotive Technology sector through key products (such as diesel and ESC), while also looking for appropriate opportunities to expand products and services within its Industrial Technology and Consumer Goods and Building Technology sectors. Opportunities in potential new business fields will also be explored.

In North America, the Bosch Group manufactures and markets automotive original equipment and aftermarket products, industrial automation and mobile products, power tools and accessories, security technology, packaging equipment and household appliances. Bosch employs approximately 23,000 associates in more than 80 primary facilities throughout North America and reported sales of $7.8 billion in 2004. For more information, visit http://www.bosch.us/ .

NOTE TO EDITORS: Conversion rate - 1 euro = $1.2429 USD.