PRESS RELEASE
Johnson Controls Announces Reorganization of Automotive Systems Group
24 January 1997
Johnson Controls Redefines and Appoints Executives In Automotive Systems Group and Creates Global Strategy Board Leading supplier of automotive seating, interiors and batteries aligns organization for continued global growth and customer focus PLYMOUTH, Mich., Jan. 23 -- Johnson Controls, Inc. today announced several changes to its Automotive Systems Group that will extend its leadership as a world-class, global automotive systems supplier. Changes include several senior management appointments, the formation of a Global Strategy Board, and the inclusion of the company's battery business as part of the Automotive Systems Group (ASG). The battery business is being combined with ASG's seating systems and interior systems businesses. "We now have three excellent businesses in the Automotive Systems Group, each with an unmatched commitment to excellence and exceeding customer expectations. The new Global Strategy Board and our executive appointments will facilitate our successful growth in total automotive systems throughout the world," said John M. Barth, Executive Vice President. Johnson Controls is the world's largest supplier of automotive seating, having delivered more than nine million seat sets in 1996 to automakers around the world. The company's interior systems capabilities were expanded in recent months by the strategic acquisitions of interior systems provider Prince Corporation of Holland, Michigan; and Roth Freres, a French interior and seating systems company; as well as by the formation of its Intertec instrument panel joint venture. The battery business is a major supplier of automotive batteries to the North American replacement and original equipment markets. It is also a leading provider of batteries for the telecommunication and uninterruptible power supply markets worldwide. Key management changes announced today include: Prince President John Spoelhof has been promoted to the position of Chairman of Prince, a wholly owned subsidiary of Johnson Controls. Mr. Spoelhof will be responsible for enhancing relationships with current Prince customers and supporting new long-term customer partnerships. He will also serve on the Global Strategy Board as Johnson Controls pursues new opportunities for automotive interior systems in Europe and emerging markets. Mr. Spoelhof has been President of Prince since 1980, and has been associated with the company for 27 years. In his new role, Mr. Spoelhof continues to report to John Barth, Executive Vice President of Johnson Controls. Michael Johnston has been appointed Vice President and General Manager of ASG's Interior Systems Business, which oversees Prince, based in Holland, Mich.; Intertec Systems, based in Southfield, Mich.; and Roth Freres' headliner operations, based in Strasbourg, France. Mr. Johnston joined Johnson Controls in 1989 and has served as Vice President and General Manager of its battery business since 1993. Mr. Johnston will continue to report to Mr. Barth. Garry Krouse will remain in his position as Chief Operating Officer for Prince -- and will assume expanded leadership responsibilities for creating and implementing strategies to globalize ASG's interior systems business including the company's instrument panel business, Prince's North American and global expansion strategies and Roth Freres' interior trim operation in Europe. He has been with Prince for 22 years and will now report directly to Mr. Johnston. Keith Wandell has been named Vice President and General Manager of the company's battery business and a corporate officer of Johnson Controls, Inc. He joined the company in 1989 and has most recently served as head of its automotive battery unit. Mr. Wandell will continue to report to Mr. Johnston. In a related move, Johnson Controls also announced the formation of a Global Strategy Board, which will develop global business strategies, organizational structures, and resource plans for ASG. The goal of the Board is to ensure that ASG delivers excellent customer and shareholder value as it expands its market leadership in automotive systems on a global scale. New global strategies will be developed to exceed customer expectations in cost, quality, delivery, and technology. Members of the Global Strategy Board are: Jim Keyes, Chairman and Chief Executive Officer; John Barth; John Spoelhof; Mike Johnston; Chip McClure, ASG Vice President and General Manager North and South America; John Fiori; ASG Vice President and General Manager Europe and Asia Pacific; and Rande Somma, ASG Vice President of Worldwide Sales and Marketing. In 1996, sales for the Automotive Systems Group, including seating, interiors and battery, were $6.3 billion. The group employs more than 38,000 people at 139 facilities worldwide. Johnson Controls is a global market leader in automotive systems and controls. Through its Automotive Systems Group, it supplies seating systems, interior systems and batteries to the automotive original equipment and replacement markets. The Controls Group serves the nonresidential buildings market with control systems and services, and integrated facility management. Founded in 1885, the corporation operates from more than 500 locations worldwide. Johnson Controls (JCI) securities are listed on the New York Stock Exchange.
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