PRESS RELEASE
German TEMIC Announces Fast Growth on American Market
26 February 1997
TEMIC is Growing Faster Than the U.S.-Market; 25 Percent Turnover Increase in the U.S. -- Amounting to DM 500 Million
DETROIT, Mich., Feb. 24 -- TEMIC is increasing its activities
on the North American market. On February 24, 1997, on the occasion of the
SAE-Show'97 in Detroit, the most important U.S. automobile show for suppliers,
TEMIC announced a 25 percent turnover increase on the U.S.-market, amounting
to DM 500 million in 1997. Last year TEMIC's Automotive Electronic Business
Unit's turnover increased by 30 percent world-wide. In 1997, this Business
Unit will grow by an additional 35 percent and will reach a turnover of
DM 1 billion.
Frank Dieter Maier, Chairman of TEMIC's Board of Management, stressed:
"The North American market is playing more and more an important role for our
Automotive Electronics business. Here we are growing faster than the market."
In 1997 TEMIC's U.S.-turnover in ABS-Electronics will increase by 60 percent,
amounting to DM 150 million. This is mostly due to a contract that has
recently been awarded to TEMIC by ITT, resulting in two big orders from Ford
and Chrysler, thus yielding an additional order volume of DM 50 million per
year, in the field of electronic ABS-Systems. TEMIC has been a close and
trustworthy ITT-partner for many years now. Furthermore, TEMIC has been
awarded new ABS-contracts by Mercedes-Benz in the U.S., and by Volkswagen for
the new beetle", which is being produced in Mexico.
TEMIC's new Cuautla plant in Mexico is supplying the entire NAFTA region
with its products. In the NAFTA region TEMIC employs 1,300 people. The
Cuautla plant is increasing its production facilities to manufacture 2 million
ABS-modules per year. With its products, TEMIC is supplying the following
companies in North America: engine management and ignition modules to
Volkswagen; a Diesel engine management PLD and Vehicle Dynamics Control
Systems to Mercedes Benz; and BMW, Mazda, and Ford are supplied with TEMIC's
Smart Airbag System produced in Mexico.
TEMIC's subsidiary, TEMIC Automotive Electric Motors GmbH. has just been
awarded two big orders by Volkswagen. TEMIC is now the exclusive supplier of
electric motors for radiator fans to be built into the new beetle and the new
Golf IV, which will be rolling out of VW's Mexican plant. TEMIC is
therefore constructing a second plant for electric motors and radiator fans in
Cuautla. Frank Dieter Maier highlighted: "Our strategy to have production
facilities right where our customers are located is paying off with these
accounts."
TEMIC is presenting itself with a wide range of new developments at the
SAE Show'97 in Detroit:
-- TEMIC has developed a control unit for the Electronic Braking
Assistant. It halves the emergency stopping distance of cars. This
electronic system recognizes driver's hesitant breaking behavior in critical
situations, and within fractions of a second it automatically increases the
break boost to its maximum value. TEMIC is the first company in the world to
develop and manufacture this control unit.
-- With its Anti-Crushing System for power windows, TEMIC has now found a
solution to prevent possible injuries. Electric power windows automatically
stop as soon as they meet the slightest form of resistance when automatically
rolling up car windows.
-- TEMIC's newly developed Angular Rate Sensor presents the heart of
Dynamic Control Systems in automobiles. It ensures safe roadholding and
prevents cars from skidding, even under difficult conditions.
-- TEMIC is working on airbag solutions that go beyond existing passive
protection. These include an out-of-position detection function for drivers
and front-seat passengers, a pre-crash detection system, airbag triggering
tailored to individual drivers and passengers, and airbags for rear-seat
passengers.
-- TEMIC's subsidiary, ADC, is breaking absolutely new ground with the
development of its distance warning systems, based on radar and infrared
distance sensors. This technologically new device automatically reacts to all
types of traffic and is thus of great assistance for drivers.
Within the Daimler-Benz-Group, TEMIC is the competence-center for
microelectronics which concentrates mainly on automotive equipment. TEMIC is
active in all strategically important markets in Europe, Asia, and North
America. TEMIC directs development, production and marketing activities in 37
countries from its headquarters in Heilbronn. In 1996, TEMIC reached a
turnover of DM 2.5 billion with 10,900 employees world-wide .
SOURCE TEMIC
CONTACT: Eckehart Rotter of TEMIC Corporate Communications, 313-392-1244,
49-7131-672945, or fax, 49-7131-673040