Carbon Motors Teams Up with Top Suppliers and Advisors

CONNERSVILLE, Ind.--Following last week’s announcement from the U.S. Department of Energy that Carbon Motors Corporation’s loan application was deemed substantially complete under the provisions of Section 136 of the Energy Independence and Security Act of 2007, the Company announced today that it has designated Autoliv ASP, Inc. as a preferred supplier for certain key systems relative to its Carbon E7, the world’s first purpose-built law enforcement patrol vehicle.

“The ability of Carbon Motors to continue to attract top caliber firms to improve the security of our homeland not only validates the business but continues to accelerate the process towards full-scale production”

“The ability of Carbon Motors to continue to attract top caliber firms to improve the security of our homeland not only validates the business but continues to accelerate the process towards full-scale production,” said William Santana Li, chairman and chief executive officer, Carbon Motors Corporation. “We literally scoured the planet for world-class suppliers across a variety of sectors and disciplines and we are thrilled to have Autoliv join the effort to put Americans back to work.”

Autoliv Inc. has been designated as the preferred supplier of the E7’s air bags, seat belts and related safety sensors. Autoliv Inc., with 10 locations in the United States, is the global leader in the automobile occupant restraint market and estimates that it accounts for more than one third of the airbag products market, and for almost one third of the seatbelt market in North America. Autoliv’s vision to substantially reduce traffic accidents, fatalities and injuries is uniquely aligned with the needs of the over 800,000 law enforcement officers in the U.S.

Preferred supplier designations are subject to terms and conditions, and are intended to establish a framework pursuant to which the parties will work together to develop mutually acceptable sourcing targets, which would ultimately form the basis of definitive supply agreements. Advisors and previously announced suppliers include:

1. Hellmuth, Obata + Kassabaum, Inc. (architects)

2. KPMG LLP (tax, audit, advisory)

3. Bryan Cave LLP (legal)

4. Marsh & McLennan (risk management)

5. Durr Systems, Inc. (production equipment)

6. Lotus (engineering)

7. TOMAR Electronics, Inc. (emergency lighting)

8. Dassault Systèmes (product lifecycle management systems)

9. BASF (film coatings)

10. Soliant, LLC (paintfilm technology)

11. Lear Corporation (vehicle seating)

12. Transense Technologies (tire pressure monitoring)

13. Federal Signal Corporation (automatic license plate recognition)

14. Hydro (aluminum body structure)

15. L-3 Displays Group (law enforcement systems interface)

16. Baker & Daniels LLP (legal)

17. Snap-On, Inc. (service strategy development)

18. Hogan & Hartson LLP (legal)

About Autoliv

Autoliv Inc. is incorporated in Delaware and is the worldwide leader in automotive safety systems. Autoliv develops and manufactures automotive safety systems for all major automotive manufacturers in the world. Together with its joint ventures, Autoliv has 80 facilities with approximately 36,000 employees in 28 vehicle-producing countries. In addition, the Company has technical centers in eleven countries around the world, with 21 test tracks, more than any other automotive safety supplier. Sales in 2008 amounted to US $6.5 billion. The Company's shares are listed on the New York Stock Exchange and its Swedish Depository Receipts on the OMX Nordic Exchange in Stockholm (ALIV sdb). Learn more at www.autoliv.com.

About Carbon Motors Corporation

Carbon Motors Corporation is a bold homeland security company on a critical mission to design, develop, manufacture, distribute, service, and recycle, the world’s first purpose-built law enforcement patrol vehicle. Learn more at www.carbonmotors.com.