Press Release

Johnson Controls to Make Seats with Beijing Automotive in China

09/30/96

Johnson Controls Enters Chinese Automotive Market, Forms Joint Venture
to Supply Interior Systems Company to operate new manufacturing
facility in Beijing ..

PLYMOUTH, Mich., Sept. 26 -- Johnson Controls and Beijing
Automotive Industry Corporation (BAIC) today formed a new joint
venture -- called Beijing Johnson Controls Automotive Trim Company --
that will produce automotive seating and interior systems and
components for major automakers in China. The agreement gives Johnson
Controls -- the world's largest producer of automotive seating and
interior systems -- its first automotive manufacturing operation in
the People's Republic of China.

The joint-venture company will operate an existing 420,000-square-foot
plant in Beijing that produces seat systems and other interior
components for five major auto companies: Beijing Jeep Corporation --
a Chrysler/BAIC joint venture; Beijing Light Automobile Company;
Beijing Tour Bus Company; Jiangling Motor Company; and Guangzhou
Peugeot Automobile Manufacturing Company.

"Our company will be the number one automotive interior systems
supplier in Asia -- and this joint venture is just the beginning of
our major expansion in this vitally important region," said John
Barth, executive vice president of Johnson Controls. "We look forward
to working with BAIC to provide world- class interior systems to
automotive customers in China."

Ma Shou Ping, chairman of Beijing Automotive Industry Group, says he
welcomes the opportunity to work with Johnson Controls in China. "We
are impressed with Johnson Controls' management and technology
leadership in the interiors industry," he said. "Our goal is for BAIC
and Johnson Controls to develop a long-term, strategic partnership in
the Chinese automotive market."

Beijing Johnson Controls Automotive Trim Company will supply complete
seats for Jeep Cherokees, BJ2020 small sport-utility vehicles, Isuzu
light trucks, and tour buses -- as well as components for Peugeot's
500 series sedans. It also will manufacture additional vehicle
components for China-based automakers, including metal seat frames;
trim covers; door panels; soft tops; interior trim; and an array of
molded plastic parts.

Under terms of the agreement, Beijing Johnson Controls Automotive Trim
Company also assumes ownership of a 25 percent share of Beijing Yanxi
Automotive Decoration Company -- a manufacturer of foam seat
cushions. Products made at Yanxi are supplied to the joint venture for
use in complete seats produced at the plant.

BAIC -- which was established in 1973 -- is among the six largest
automotive manufacturing corporations in China. The company -- which
has 20 automotive component manufacturing plants and six vehicle
assembly facilities -- employs 46,000 people.

Johnson Controls is the world's largest supplier of automotive seating
and interior systems. In 1995, the company's worldwide operations
manufactured interior systems for more than 8.4 million vehicles. The
company's Automotive Systems Group is the largest of four divisions of
Milwaukee, Wisconsin-based Johnson Controls, Inc.. The
Group employs more than 33,000 people at 113 facilities worldwide and
achieved $3.8 billion in sales for the 1995 fiscal year. During the
same period, Johnson Controls, Inc. (all four divisions) recorded
sales of $8.3 billion.