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Donnelly Corporation Creates Two Technology Ventures

3 July 1997

Donnelly Corporation Creates Two Technology Ventures

    HOLLAND, Mich., July 3 -- Donnelly Corporation
today announced that it has formed two wholly owned technology ventures to
leverage the company's core competencies in automotive and non-automotive
industries.
    The two companies -- Information Products Inc. and Donnelly Optics Inc. --
have been established as independent operating units so that they will have
more freedom and flexibility to develop and market their unique technologies.
    Information Products Inc. is based in Holland, Michigan and produces
specially coated and shaped glass for the computer touch screen industry.  The
unit began operations as a separate company on July 1, and will continue as an
important part of Donnelly.
    "Information Products Inc. has a broad range of technologies, an
established customer base and an important product to offer in an information
society," said Dwane Baumgardner, Donnelly chairman and chief executive
officer.  "By establishing the unit as an independent entity, we are giving
Information Products a more open opportunity to focus on its customers and
grow its business to its full potential."
    Donnelly Optics Inc. is based in Tucson, Arizona, and is a producer of
high-quality injection molded optical lenses.  The company began its
independent operations on June 29, and has won several contracts in its bid to
build a customer base in the computer, telecommunications and automotive
industries, among others.
    "We have for several years been communicating openly on the technologies
under development at Donnelly Optics, and we are optimistic about the
company's prospects for long-term growth," Baumgardner said.  "But as with any
company that is a relatively young start-up, we recognize that the future
sales and growth of Donnelly Optics will be determined by our customers and
the marketplace.  Our business in Tucson is still very much in its early
stages, and it is still too early to accurately predict the extent of its long
term success."
    Both Information Products Inc. and Donnelly Optics Inc. are currently
wholly owned subsidiaries.  Donnelly will continue to evaluate options for the
long term financial structure and financing of the two companies, but no
decisions have been made to alter the present structure.
    Donnelly Corporation is an international automotive supplier, dedicated to
serving customers around the globe with high-quality fabricated, molded and
coated glass products.  The company has been based in Holland, Michigan since
1905, and today operates from 28 locations in the U.S., Mexico, Europe and
Asia.  Donnelly is also recognized as a leader in the application of
participative management, and was named as one of the "Top Ten" in the book,
The 100 Best Companies To Work For In America.

SOURCE  Donnelly Corporation